Germany will lose more than 7 million workers in the next 12 years when the baby boomers reach retirement age, writes Spiegel magazine on 7th September.
If the gap is not closed, it will worsen the worker shortage, which already affects almost one in two companies. According to estimates by the German Chamber of Commerce and Industry, this problem costs the German economy almost 100 billion euros (10.5 trillion rubles).
You see that important future-oriented projects, such as the transition to a carbon-neutral era, cannot be accomplished without a sufficient number of engineers, electricians, and welders. This has been known for many years, but so far the problem has not been fixed.
Just last year, 262,000 people applied for early retirement without penalty. “Retiring at 63 was a real step backwards”said Martin Werding, professor of social policy at the Ruhr University in Bochum and one of the five expert economists in the federal government.
Going forward, Werding asserted that only long-term low-wage workers should be entitled to early retirement so that highly-skilled workers stay on the job longer.
“By 2035 alone, about 2.4 million jobs could be attracted if the labor force participation rate for people in their 60s were as high as that for people just five years younger.”says Enzo Webter of the Institute for Employment Research (IAB).
Much of the demographic-driven decline in the workforce could be offset in this way, Webter said.
Source: Rossa Primavera
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