"Anti-wokeness" movements in the US, the electoral battle in Germany, technological changes, workforce shortages – 2025 arrived amidst major political changes, industry transformations, and new sought-out skill sets. The labor market is rapidly shifting and we at WifOR Institute summarized five key topics that will impact jobs, organizations, and societies in the months ahead. From effective training strategies for companies to the policies in play at the German elections, here are our data insights and forecasts.
Best wishes,
The clock ticks as the federal election approaches in Germany. The parties have already shared their electoral programs and, as part of the Tagesspiegel’s expert panel analyzing their proposals, I examined some of their main ideas for the labor market:
CDU’s focus is on the economy. The party suggests limiting the “citizen’s allowance” or Bürgergeld and reducing taxes for companies. Read more here.
Meanwhile, both CDU and CSU pledge tougher migration policies. Read more here.
The Greens propose a path for formalizing and financing caregiving, a measure that could increase women’s participation in the workforce. Read more here.
While it will take time and tough negotiations before we see the implementation of such measures, one thing is clear: Germany needs a comprehensive strategy to counteract personnel shortages and to prepare workers for the jobs of the future.
It is not just policymakers that need to take action: businesses must also play anactive role in training their employees for new industry requirements if they want to stay competitive.
This is why WifOR Institute released a new study diving into the successful reskilling strategies of large companies and SMEs. With examples of the rapidly shifting automotive sector in the German state of Baden-Württemberg, the publication explores effective learning models.
Read our study “Professional Development in Practice – An Analysis of the Presentation of Qualification Paths in the Automotive Industry” (in German, commissioned by e-mobil) here.
Another changing aspect is the availability of skilled workers. As the workforce shrinks due to demographic shifts and certain profiles are seeked for, detecting where to find the right talent is essential.
Later this year, companies, organizations, and decision-makers in Europe will be able to identify the current and future supply and demand of workers with a new interactive tool. WifOR’s European Skilled Labor Monitor harmonizes labor data in the EU, offers region-specific insights, and showcases workforce forecasts up to 2040.
Sign up to receive the latest updates on the monitor here.
Despite the opportunistic attitude of many US CEOs who are abandoning their DE&I programs under the new Trump administration, it is clear in the long-term that corporate culture has an impact on the well-being, performance and loyalty of employees. Diversity, equity, and inclusion (DE&I) are not just buzzwords: these are practices that foster safe spaces where workers feel seen and innovation thrives, thus boosting company growth.
I discussed this topic during the DE&I Conference organized by the German Association for Personnel Management (DGFP). During the event, we also explored how fostering DE&I minimizes social costs, as reduced unemployment due to less resignations translates into a lesser economic burden for the state.
Mental health provides a concrete example of the consequences a positive or negative corporate culture can have on workers. In Germany, the number of sick days hit a new high and illnesses including depression and anxiety are ranking among the top three causes for absenteeism. This suggests rising levels of stress and pressure, possibly due to poor working conditions.
To provide insights that help employers combat this issue, WifOR Institute and the Hans Böckler Foundation are currently collaborating on a study to assess the effects of DE&I on mental health. The in-depth analysis will be conducted in three waves of representative surveys, with questions to over 2.000 individuals, to monitor changes over time. The first results will be published this year.
Learn more about this subject from our previous study for Novartis, “Exploring the Social Impact of Diversity and Inclusion: A Case Study on Employee Well-being", here.
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