Employment ministers meeting today to discuss how to solve Europe’s labour shortages cannot continue overlooking the central role played in the problem by low pay.
Labour shortages are high on the agenda for the Council of the EU’s meeting of the ministers for employment and social policy (EPSCO) being held in Brussels.
The crisis is often attributed by employers to a lack of skills but research by the European Trade Union Institute has found:
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Across the EU, the industries finding it hardest to recruit workers paid 9% less on average than those least affected by the labour shortage.
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In 13 of the 22 EU member states for which data is available, the sectors where labour shortages grew most between 2019 and 2022 also offered the lowest wages.
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The biggest pay gaps between sectors with the highest and lowest increases in labour shortages were found in Italy (€4.17 an hour), Luxembourg (€4.16), Germany (€3.26), the Netherlands (€2.49) and Greece (€1.51).
The European Trade Union Confederation (ETUC) is calling on the European Commission to use the forthcoming revision of the public procurement directives to ensure that only companies which negotiate wages and conditions with trade unions are eligible for public contracts.
Speaking ahead of the meeting, ETUC General Secretary Esther Lynch said:
“All too often labour shortages are discussed without a mention of one of the main causes: low pay."
“I call on ministers meeting today to confront the fact that raising the quality of jobs is the missing part of the puzzle in solving Europe’s labour shortage.
"Ministers would also do well to include in their discussion the next steps towards a European plan to address growing job losses.
“Research shows that offering decent pay and working conditions is good for workers, businesses and the wider economy.
“The best way to achieve this win-win situation is by raising the number of workers covered by collective bargaining agreements between trade unions and employers."
