Germany introduces draft reforms promoting immigration from Western Balkan countries to address labour shortages

Germany presented draft reforms on Wednesday to tackle labor shortages in its economy, by addressing immigration, skills training, and promoting immigration from Western Balkan countries.

Labour Minister Hubertus Heil emphasized the need to secure Germany’s skilled labor base, calling it one of the country’s biggest economic tasks for the coming decades. The reforms aim to remove obstacles for migrant workers, particularly those outside the European Union, and are expected to benefit the record high number of job vacancies in Germany, which was close to 2 million in 2022, according to the Labour Ministry.

Finance Minister Christian Lindner welcomed the draft law, stating that it would create a foundation for a new start in migration policy and that anyone who could contribute to Germany’s economic success as a skilled worker would be welcome. The draft law proposes to increase the number of workers from countries outside the EU by 60,000 people per year, offering three pathways for foreign workers to enter the country.

The first pathway requires a recognized degree and an employment contract, while the second requires at least two years of experience in a relevant sector and a degree or vocational training. The third pathway is a new ‘opportunity card’ for individuals who have the potential to find work, based on a points-based system that considers qualifications, language skills, professional experience, connection to Germany, and age.

However, migration expert Herbert Bruecker believes that while the draft law contains sensible ideas, it is not far-reaching enough to address Germany’s labor shortage. He finds the requirements of the opportunity card too complex for a temporary visa to look for work.

The German cabinet has also approved an education law that entitles young people to paid off-the-job training, with the Federal Labour Agency paying up to 67 percent of the net salary during the training. Moreover, the Cabinet has decided to extend regulations for job-seekers from Albania, Bosnia-Herzegovina, Kosovo, the Republic of Northern Macedonia, Montenegro, and Serbia, which were previously expected to expire at the end of the year. Germany can now recruit up to 50,000 workers annually from these countries, compared to the previous 25,000 workers per year.