Population trends show that global labor shortages are expanding in the coming decades

Economic growth and prosperity are intertwined with the significant population growth of the last 200 years. In fact, since 1950, the world’s population has increased from 2.5 billion to 7.9 billion.

However, looking to the future, when the “baby boomer generation” reaches retirement age, by 2030, the world’s five largest economies will be the United States, China, Japan, Germany, and the United Kingdom, according to UN statistics.

To better understand this trend, Totaljobs has joined StepStone Group’s global partners to study the imminent crisis that could impact the global economy –’.Arbeiterlosigkeit‘Or’ the great unemployedee-If forecasts are realized and no action is taken, businesses will find it increasingly difficult to find the staff they need for economic growth.

Important findings from research

A survey of about 20,000 workers and business leaders around the world found that eight in ten were unaware of this issue. This is what StepStone Group CEO Sebastian Dettmers has labeled as “the biggest challenge of the 21st century, alongside the climate crisis.”

That is, a sharp decline in the working-age population of some of the world’s largest economies. By the end of this century, Europe’s working-age population has declined by 28% to 132 million, according to UN statistics. For the G20 as a whole, this figure has reached 600 million, an increase of about 700 million people of pensionable age. Germany was the hardest hit in the short term, with 7% of its current working population in Berlin by 2030.

In the UK, the working-age population is set to increase by only 1.2% by 2050, which is less stringent than expected abroad, but 48 of people of pensionable age by 2050. % Increase is expected. By 2050, the economic costs of the UK will be equally dramatic for people over the age of 65.

Individual quote by International Longevity Center As a result, the (ILC) predicts that the UK economy will experience a shortage of 2.6 million workers by 2030.

What the industry can do to mitigate the effects of population decline

If left uncontrolled, these developments can have serious consequences for the global economy and society as a whole, along with decades of recession threats.

The study highlights a set of steps that business leaders around the world can take to counteract some of the impact of global labor shortages. This is to increase adoption of flexible work patterns (76% of employers cite), increase investment in automation (74%), and implement diversity, fairness and inclusiveness within the hiring process. Includes the implementation of specific measures (72%).

In addition, nearly two-thirds (65%) of business leaders point to increased recruitment to fill skill gaps and labor shortages, with 57% more labor. He argues that increasing retirement age to provide power benefits employers.

“A new era has begun in the labor market. For the first time in recent history, the number of labor force will decrease rather than increase. This will have a serious impact on our economy and the standard of living of all individuals. Gives.

We all need to speak louder about this and work at full speed on solutions to protect our prosperity.

Alongside the climate crisis, the reversal of labor market demographics is the greatest economic and social challenge of the 21st century. We want to make the threat visible and prevent labor shortages from putting us in an unprepared state. We can still act.

Another key is to ensure greater equality in the global labor market. There has long been no room for discrimination or inequality in opportunities in the job market. When there is a labor shortage, there are new elements. We cannot afford to put people at a disadvantage and leave their potential unexplored. “

Sebastian Detmars

StepStone Group CEO Dr. Sebastian Dettmers

“The combination of lower fertility rates and longer life expectancy will bring about major changes in the labor market in the future. Certainly, we need to plan ahead for a structurally tight workforce and the consequent rise in unit labor costs. there is.

To offset these high labor costs, employers need to invest more in labor-saving technologies and spend more time and effort in labor management. “

Charles Goodhart

Professor Charles Goodhart, co-author of The GreatDemographic Reversal

Please look at the details

The results of these findings were revealed as part of a brand new global study conducted by the StepStone Group. In this survey, the UK job platform Totaljobs, the German recruitment platform, and the US technology provider Appcast surveyed a total of 20,000 people in the UK and US. China, Germany.

Read the Global Survey for more information

Population trends show that global labor shortages are expanding in the coming decades

Source link Population trends show that global labor shortages are expanding in the coming decades

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