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EU Report Highlights Migrants and other vulnerable groups as Key to tackling EU skills and labour shortages

The European Commission’s 2025 Employment and Social Developments in Europe report identifies migrants as an essential part of the solution to widespread labour and skills shortages across the EU.

According to the flagship report, over 7 million migrants of working age are currently excluded from the EU labour market due to barriers such as language difficulties, non-recognition of qualifications, discrimination and complex administrative procedures. These obstacles contribute to migrants facing the highest risk of poverty compared with other demographic groups in the workforce.

Despite these challenges, the report highlights that migrants bring valuable skills that could help fill job gaps in sectors struggling with acute shortages. Policies that combine tax incentives, job search support, language training and simpler work permits are shown to increase migrants’ participation in the workforce.

Boosting migrant labour participation is also seen as critical for the EU to move toward its 78 % employment rate target for 2030 and to strengthen social cohesion.

Better integrating underrepresented groups – such as women, older people, migrants and persons with disabilities – into the job market can help to mitigate skills and labour shortages and offset the demographic changes that risk shrinking the EU’s workforce by up to 18 million by 2050.

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