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The “2013 Shortage Analysis” conducted by the Cologne Institute for Economic Research (IW) on behalf of the BMWi’s competence centre has found that companies in Germany increasingly have trouble filling vacancies because there are not enough suitable candidates.

The German Employment Act defines which training and professional qualifications are necessary for non-EU citizens to take up employment in Germany. The German government has now amended this law, and the new version is scheduled to come into effect on 1 July, marking an important step towards an even more welcoming culture in Germany.

Immigrants perform worse in the labor market than natives, likely because of the low transferability of home-country professional certificates. The standardized recognition of professional certificates in the host country represents one policy for increasing their transferability.This paper investigates the effects of a large recognition reform in Germany on the labor market outcomes of non-EU immigrants.

The Factsheet Migration, currently published by the Bertelsmann Stiftung, shows trends, facts and figures on the immigration of skilled workers from non-EU countries to Germany.

Refugees are increasingly succeeding in integrating into the German labour market. Particularly female refugees benefit from improved recognition and training opportunities for their qualifications in the teaching and health care sectors.

As of January 18, 2016, the Recognition Act was revised: from now on, the citizens of the European Union or European Economic Area can submit their application and all relevant documents online. Furthermore, their applications will be processed by a single contact point. This application procedure will apply, at first, only to the regulated professions in the federal responsibility.

German Bundestag passed the Integration Act on July 7. The guiding principle on which the new legislation is based is that of “support and challenge”. Refugees who have good prospects of being allowed to stay permanently will be eligible to take integration courses and to take advantage of job and training opportunities sooner than before. But they will also be required to work on their own integration. Those asylum seekers who refuse to take an integration course or who do not meet their duties to cooperate will have their benefits curtailed.

On 30 November, the German Government agreed its key points on the immigration of skilled workers from third countries. It thus paves the way for the most modern immigration law Germany has ever had. The key points provide for facilitating immigration firstly for skilled workers with recognised foreign vocational qualifications, secondly for skilled workers with proven professional experience, and thirdly by introducing an opportunity card for job-seeking.

From 1 July onwards, skilled workers from non-EU countries will find it easier to relocate to Germany. On that date, the new Employment Act will come into effect, which is aimed at counteracting the current shortage of skilled workers and enhancing Germany’s position in the worldwide competition for qualified professionals. Not an easy task, as other large Western economies and newly industrialised countries are also adapting their immigration policies.