Skills shortages undermine Europe’s competitiveness, new study confirms

Today, BusinessEurope discussed the findings of a Deloitte study on Access to Skills, commissioned to examine employers’ skills challenges across Europe. The Deloitte study examines employers’ skills challenges across Europe and actions to address them at European, national and sectoral levels. BusinessEurope Director General Markus J. Beyrer said:

“Europe cannot strengthen its competitiveness without addressing skills shortages. Across sectors, companies face labour shortages and a growing mismatch between available skills and evolving job requirements, driven in part by demographic change and the green and digital transitions. Companies are investing in their workforce: 82% of surveyed companies use continuous staff training to meet skills needs. Yet time constraints, limited organisational capacity and costs can make it difficult to provide training, particularly for SMEs.

We need to turn better knowledge of skills requirements into training that better meets companies’ skills needs. This means updating curricula to reflect labour-market needs and expanding flexible, work-based and modular learning. Digital and AI-enabled tools can help, and practical experience and foundational skills remain essential. Labour mobility and international recruitment can also widen the talent pool, supported by better recognition of qualifications and skills gained at work.

Employers, social partners, education and training providers, and policymakers must work together to reduce skills shortages. Europe needs better-connected skills systems that make effective use of existing initiatives and funding, with employers playing a meaningful role in identifying skills needs and shaping training responses. Closing the skills gap is essential to Europe’s long-term competitiveness.”

Read the lessons drawn by BusinessEurope and the full text of the Deloitte study.