A Skewed Education Landscape: Germany's Underskilled Youth
Multitudes of adolescents in Germany fail to acquire formal education.
An increasing number of young people in Germany are finding themselves without a trade qualification or degree—a concerning trend that threatens to exacerbate the country's already pressing need for skilled labor.
Approximately 1.6 million 20- to 34-year-olds lack both vocational training and a university education. Each year, this figure continues to escalate, with approximately 460,000 young individuals joining this category in the past twelve years, according to the Institute for Labor Market and Vocational Research (IAB). This steep rise becomes even more substantial when considering the data from the Federal Institute for Vocational Education and Training (BIBB), which encompasses all young adults within this age group. Their statistics suggest that nearly 2.8 million young individuals lack vocational training, representing almost one in every five persons in this bracket.
Data Privacy Concerns
The pronounced shortage of apprenticeships casts a grim shadow against the backdrop of the labor market's pressing demand for skilled workers: Germany currently persistently faces a deficit of over 530,000 suitably qualified workers. Over the following two years, this gap is predicted to widen to an alarming 200,000, with the figure reaching a sobering 730,000 by 2027, according to the Institute of the German Economy.
Struggling Through School and Into the Workforce
The roots of this issue trace back to the student years, where large numbers of youngsters complete their schooling without a diploma. In 2021 alone, 47,500 students failed to complete their main school-leaving certificate, equivalent to approximately six percent of the total student body, according to the Federal Statistical Office. Those without a school-leaving certificate face reduced employability: The Vocational Training Report reveals that as many as 75 percent of young individuals lacking trade qualifications have also dropped out of school.
A critical factor contributing to the increasing number of young people without any training is immigration, with around 45 percent of 20- to 34-year-old refugees from asylum nations such as Syria and Afghanistan lacking any vocational training, as per an IAB study. The same trend has been observed among young individuals from other EU countries, albeit not to the same extent as among native Germans.
Bridging the Skills Gap
"Migration does not equate to less education," says IAB Professor Enzo Weber in the ntv podcast "Wieder was gelernt." Instead, many immigrants originate from vastly dissimilar education systems, hindering their ability to fully capitalize on their potential within the German labor market. Weber advocates for a strengthening of integration efforts to recognize and develop the existing competencies of immigrants, ultimately leading to recognition and qualification.
Another contributing factor to the scarcity of apprenticeships is the immediacy of pay provided by entry-level jobs. These jobs often offer higher wages in the short term, as the minimum wage has risen, compared to the prolonged training periods associated with apprenticeships.
Leveraging Education as a Competitive Edge
While apprentices in their initial year of training can earn a minimum of €680 per month—a significant sum greater than the average earnings of helpers—these wage disparities may not persist. Weber advises a focus on expanding low-threshold education programs that allow trainees to complete specific modules concurrently with on-the-job training, ultimately achieving qualification within a few years.
Moreover, enhancing career guidance and exposure to various occupational prospects could pique the interest of young individuals in high-demand trades, which boast substantially higher long-term earnings. For example, technical research and development specialists have the potential to earn more than university graduates, according to an Institute of the German Economy (IW) study.
Closing the Communication Divide
Despite Germany's significant skills gap, approximately 73,000 training positions remained unfilled in 2023, representing over one-third of available positions. Over half of companies face a shortage of suitable applicants, with some receiving no applications at all. Companies often attribute this problem to an inability to connect with potential apprentices.
The challenge arises from misunderstandings in communication channels: Companies frequently use platforms such as Facebook to advertise their open positions, whereas young individuals tend to favor alternative platforms like YouTube, WhatsApp, and TikTok[6]. Addressing this divide through improved online communication on relevant channels could help companies reach a broader audience of potential apprentices.
Sources:[1] NTV.de[2] Federal Institute for Vocational Education and Training (BIBB)[3] Institute for Labor Market and Vocational Research (IAB)[4] International Organization for Migration[5] German Interior Ministry[6] Bertelsmann Foundation survey in cooperation with the Institute of the German Economy (IW)
- The lack of vocational training among Germany's youth, particularly those aged 20-34, is a concerning trend that is creating a pressing need for skilled labor in the country.
- In 2021, approximately 47,500 students failed to complete their main school-leaving certificate, with around 75% of young individuals lacking trade qualifications also dropping out of school.
- A significant number of young refugees from countries like Syria and Afghanistan lack vocational training, with around 45% of 20-34-year-old refugees fitting this description.
- Professor Enzo Weber, from the Institute for Labor Market and Vocational Research, suggests strengthening integration efforts to recognize and develop the existing competencies of immigrants, ultimately leading to recognition and qualification.
- The minimum wage rising in Germany has led some young individuals to opt for entry-level jobs, which often offer higher wages in the short term, over apprenticeships and vocational training.
- Enzo Weber also advocates for low-threshold education programs that allow trainees to complete specific modules concurrently with on-the-job training, enabling them to achieve qualification quickly.
- Approximately 73,000 training positions remained unfilled in 2023 due to a lack of communication between companies and potential apprentices. This communication gap could be bridged through improved online communication on platforms such as YouTube, WhatsApp, and TikTok.