EU publishes the Action Plan to combat Labour and Skills Shortages

On 20nd March 2024, the European Commission published the „Labour and skills shortages in the EU: an action plan“. The Action Plan outlines steps to be taken by the EU, as well as Member States and Social partners, after the EU Commission identified 42 occupations where there is a shortage of qulaified employees.

In addition to providing funding for various initiatives, the EU Commission plans to, for example map out future skills as well as analyse sick leave policies and identify the best practices for all stakeholders. Member States are enocuraged to, for example revise their legislation to facilittate fair labour mobility, for example through the the digitalisation of social security coordination, or to adopt tax reforms for second wage earners and low-income earners. Social partners will work closely with the EU to address, for example poor working conditions through collective bargaining in the sectors characterised by inadequate working conditions or to promote the employement of older workers.

All stakeholders, including companies, should anticipate legislative changes aimed at adavancing the goals outlined in the Action Plan.