On March 20th, 2024, the European Commission unveiled an action plan designed to tackle the long-standing issues of labour and skill shortage. Taking a multi-level approach with Member States and social partners, the Commission aims to provoke an amelioration of the labour market, especially regarding qualified workers.

Part of a broader plan to boost the competitiveness and economic growth of the EU, the plan builds on several policies and funding sources already in place, such as the pact for skills, which has already provided training to 3.5 million individuals. In line with the targets endorsed at the Porto Social Summit of May 2021, which set out long-term social targets, the proposed action plan is also the direct result of the Val-Duchesse Social Partners Summit of January 2024 and its debates and proposals.

To do so, the European Commission will take planning actions and will fund several projects to promote employment, lifelong training, and upskilling of workers. Vocational training will also be developed, with plans to support at least 100 Centres of Vocational Excellence by 2027. Additionally, the European Commission plans, in cooperation with Member States and social partners, to adopt a new Declaration on Vocational Education and Training, to align future policy actions to the recent economic transformation and its resulting labour needs.
In parallel, the Commission advises Member States to facilitate labour mobility, improve the training of professionals, and alter, where necessary, the tax burden on low-paying jobs. Moreover, it exhorts all countries to develop proper sectoral mapping of labour needs to be able to enact policies tailored to local needs.

In line with previous discussions, social partners plan to use collective bargaining to address the issues of working conditions, especially for third-country nationals; to support apprenticeship, vocational training, and education where skills shortages are the most acute; as well as to discuss proposals to adapt the economy to digital transformation.

The environmental and digital transformations, along with demographic shifts, are resulting in an increased demand for qualified workers. By addressing multiple aspects of the problem, the Commission hope to avoid further strains on the labour market and enable the European Economy to thrive in the coming decades. As explained in previous articles, professional, and vocational training, will be essential to addressing the growing demand for skilled workers. While this action plan is not yet in place, the Commission’s plan is likely to benefit our professions.