The shortage of skilled workers is not a new phenomenon in Germany and is progressing at an ever-increasing pace. Regardless of size, many companies, from large corporations to small start-ups, are feeling the effects of this. The big companies in particular have a clear advantage and can usually offer more, at least financially, than medium-sized companies or newcomers. And yet it is Every tenth vacant position in DAX companies is an IT job. Specialists in data analysis and software development are particularly in demand. According to Bitkom, two out of three companies even expect the personnel shortage to worsen further. In 2021, the number of open IT positions has already risen to 96.000, and by 2030 it could rise to one million. An enormous risk not only for each individual company, but for the entire German economy.
New immigration law to combat the shortage of skilled workers
A new immigration law is now intended to counteract the shortage of skilled workers. The new regulations are intended to make immigration easier for people with qualified vocational training or a university degree - under special conditions (including qualifications, age, language skills, proof of a job, livelihood security) and if the qualification is recognized in this country.
IT specialists play a special role here “Excellent practical professional knowledge even without a formal qualification” allowed to enter. You can then look for a suitable job here on site. With highly qualified specialists, especially in the engineering and IT sectors, India offers an untapped pool of personnel. The specialists not only have a high level of qualifications. In particular, Indians have a clear advantage when it comes to language because English is the official language. Not only in comparison to its large neighbor China, but also to many other countries.
English language education: Familiar with the language from an early age
In India, since independence from Great Britain in 1947, there has been a very good English-language educational offering throughout the country: in addition to education in the respective local language (e.g. Hindi, Bengali or Tamil), there have also been so-called “English medium” kindergartens and schools for decades and universities. This means that the medium of conversation is English and the respective local language is only taught later as a “foreign language” in school. If Indian families can afford it, they generally always send their children to these “English medium” schools and universities. It is therefore not surprising that a large proportion of Indians see English as their first language and move naturally in the Anglo-Saxon world.
Challenges in attracting skilled workers in India
However, the recruitment of skilled workers in India is completely different to that in Europe. Regardless of where the employees are deployed (e.g. in a German branch in India = outsourcing or in the headquarters in Germany). The processes and decision-making criteria differ significantly: for example, often embellished CVs require a complex “background check” right at the beginning of the recruiting process. In general, the recruiter has to work through hundreds of application documents.
The choice of location in India for companies from Europe interested in outsourcing is not entirely trivial, as the respective and individual decision criteria must be correctly weighted. Nevertheless, recruiting skilled workers in and from India offers huge potential for the future of German and European companies.
The HR departments’ strategies need a breath of fresh air
The corona pandemic has banished many of us to working from home - some of us to this day - with the effect that most companies have now learned to let parts of their workforce work remotely.
This now opens up completely new approaches to the acute shortage of skilled workers in many German companies. Working remotely is known to be independent of location. So why don't you as the person in charge dare to look to India when you're desperate to find the next generation of skilled workers in this country and, in the worst case, endanger the company's constant growth?
If you would like to learn more about how these approaches can be put into practice, be sure to tune in to our next webinar Senior Expert Sonjoy Chaudhury do not miss. After the successful series of sales training events last year, this time we are looking at the strategic level. In addition to exciting practical insights and a lively exchange, you will take away many valuable suggestions for your future HR strategy from this webinar.
You can find further information and the registration form here.