A Shortage of Qualified Personnel Is Everyday Reality for Many Companies in Germany
In the Mittelstand, the skilled labor shortage is the number one problem, according to a survey.
The shortage of skilled workers in Germany is affecting the Mittelstand more than bureaucracy or rising energy costs, according to a survey conducted by Heidelberger Druckmaschinen AG, which included around 700 executives from medium-sized companies. According to the results, nearly every participant reported being affected by staffing shortages (nine out of ten). Almost half (49 percent) said they were suffering significantly or very significantly from a lack of workers and skilled professionals.
When asked about their most pressing current problems, the respondents ranked the labor and skilled worker shortage first (50 percent) — ahead of comparatively high energy and raw material prices (37 percent), and excessive bureaucracy (31 percent).
Increased Use of Technology
According to the representative survey carried out by the F.A.Z. Institute in February, many medium-sized businesses see increased use of technology as an effective way to compensate for personnel shortages. Three-quarters of the respondents (74 percent) are investing in digitalizing their internal processes. Around two-thirds (67 percent) consider the use of artificial intelligence effective for minimizing staffing gaps.
Industrial medium-sized companies, in particular, see opportunities in automating their production. In this sector, 67 percent of respondents view automation as a suitable solution for labor and skills shortages.
Catching Up on Digitalization
More than 90 percent of the surveyed businesses agree that without digitalization and automation, the German economy will not remain competitive. However, seven out of ten rate the current state of digitalization in the economy as mediocre at best. Many see a need for improvement within their own company: only a little over half of the respondents consider their own business to be advanced in terms of digitalization.
Ludwin Monz, CEO of Heidelberger Druckmaschinen AG, noted that many small and medium-sized businesses — not just in the printing industry — still have a lot of catching up to do when it comes to digitalization. “They need a strategy for implementing modern technologies and an education initiative to prepare their workforce for the jobs of tomorrow. Schools and training institutions also have a role to play here,” he said.
A Call for Immigration of Skilled Workers
Reinhard Houben, the FDP parliamentary group’s spokesperson for economic policy, stated that while digitalization and automation offer relief, they do not solve all the problems. “We need a welcoming culture for skilled and unskilled workers from abroad in order to maintain our prosperity and competitiveness,” he said.
