Development of Construction Worker Mobility in Germany

Germany as a Top EU Destination for Mobile Construction Workers

With over 200,000 mobile EU construction workers in 2021, Germany welcomed the most in all of Europe. These workers made up 22% of all mobile EU labor in the country, highlighting the importance of the construction sector for labor mobility to Germany.

Main Source Countries for Mobile Workers

Germany attracts construction workers from Western and Eastern Europe. Recently, the source countries have shifted eastward.

Shift Towards Eastern European Countries

While Poland has long been the main source country, flows from Romania and Bulgaria are increasing. Romanian construction workers in Germany rose from 5.4% in 2016 to 9.7% by 2021. Bulgarians expanded from just 1.6% to 2.5% in the same period.

Poland as the Largest Source Country

However, Poland still accounted for 35% of all mobile construction workers in Germany in 2021, making it the largest share. Established migrant networks and geographical proximity support these ongoing Polish flows.

Regional Concentrations in Germany

Mobile construction workers are not evenly distributed across Germany. Three key regions host the majority of workers from the main source countries.

Three Key Regions

The top destinations are all located in the south or east.

Saxony, Bavaria, and Baden-Württemberg

Specifically, most Polish and Czech workers are drawn to Saxony. Bavaria employs many Austrians. Baden-Württemberg hosts the largest shares of Bulgarians and Romanians.

Flat Employment Growth but Rising Labor Shortages

Interestingly, overall construction employment in Germany recorded only minimal growth despite high mobility. However, labor market signals indicate increasing shortages.

Slow Employment Decline 2016-2021

From 2016 to 2021, total employment in construction actually declined slightly, with an average annual decrease of 0.3%.

High Vacancy Rates Indicate Shortages

The German construction sector recorded a high vacancy rate of 5.4% in 2021, indicating a clear labor shortage.

Mobile Workers Represent a Significant Employment Share

In some construction trades, mobile EU labor constitutes a significant share of total employment in Germany.

Construction Trades and Civil Engineering

In 2021, mobile workers made up 8.4% of German employment in construction production and expansion, 7.8% in expansion and interior work, and 6.2% in earthworks, road construction, and similar trades.

Self-Employment Also Substantial

Additionally, 33% of self-employed mobile EU workers in Germany were active in the construction sector - the second-highest share after agriculture.

Demographic and Qualification Shifts Among Mobile Workers

A closer look at the data reveals notable shifts in the composition of mobile construction workers in Germany since 2016.

Aging of the Mobile Construction Workforce

Although still dominated by the main age groups, the share of construction workers aged 50+ increased from 8.6% in 2016 to 12.2% by 2021.

Higher Qualification Through Increasing Education Levels

The share of construction workers with intermediate education rose from 48% in 2016 to 53% in 2021, indicating a certain upskilling of the workforce.

High and Increasing Overqualification

However, in 2021, 57% were overqualified for their construction jobs, compared to 51% in 2016. This indicates an underutilization of skills.

Growth of Niche Activities and Specializations

Professions such as civil engineers saw rapid growth, likely indicating specialization in further construction areas.

Measures for Integration and Upskilling of Workers

Government initiatives and private collaborations aim to better integrate and further qualify mobile construction workers in Germany.

Recognition of Foreign Qualifications

Programs like IQ support the assessment and recognition of qualifications acquired abroad to improve labor market integration.

Government Integration Programs

Other public initiatives offer vocational guidance and language training tailored to trades such as masonry or scaffolding.

Private Sector Initiatives for Training

Partnerships between German and foreign construction companies, such as the Polish-German Construction Academy, enable cross-border training in the workplace.

Remaining Gaps and Future Development

Although progress has been made, shortages are likely to continue growing, and better monitoring of niche trends is required.

Ongoing Shortages Expected

With flat employment but high vacancies, labor gaps in construction are expected to persist and widen in the coming years.

Better Monitoring of Profession-Specific Trends Required

Improved tracking of niche professions and activities would help identify targeted mobility and training to close precise gaps.

Risk of Shortages in Construction Work

Without measures, ongoing shortages could lead to local bottlenecks and broader declines in productivity and growth in the construction sector.

In conclusion, EU mobility has provided a crucial pool of construction workers for Germany. However, imbalances between rising demand and stagnant supply remain. Focused efforts to attract and further qualify mobile workers in niches with labor shortages will be crucial in the future.