26th June 2023

Europe

Germany approves skilled workers reform

Germany's parliament has given the green light to immigration reforms aimed at addressing the country's severe labor shortage by attracting skilled workers.

The legislation, proposed by the governing coalition of the Social Democrats, Free Democrats, and Greens, received a solid approval with 388 votes in favor, while 234 lawmakers opposed it, and 31 abstained from voting.

The approved legislation incorporates a points-based system that aims to reduce barriers for individuals seeking work visas based on their professional qualifications, age, and language proficiency.

According to the Association of German Chambers of Commerce and Industry (DIHK), over half of German companies have been grappling with unfilled positions due to a scarcity of skilled workers. This year, the DIHK conducted a survey of 22,000 companies, revealing that the percentage of companies encountering challenges in hiring reached an all-time high, with 53% reporting shortages in their workforce.