Germany should become more digital, but there is a lack of experts for this. The German Economic Institute has analyzed which digitalization professions will have the most skilled workers in 2027.
No matter whether in the factory, the authority or in the smart home: digitalization is popular in many areas of the economy and society. But someone has to implement the whole thing – and there could be problems in the coming years: According to one from the German Economic Institute, there will be a shortage of around 128,000 skilled workers in digitalization professions in Germany by 2027. Or to put it positively: There are enormous job opportunities for bright minds with the right qualifications.
For their analysis, the IW authors calculated the skills gap in professional groups that are indispensable for digitalization. These include not only software experts with university degrees, but also specialists from technical professions and crafts. The economists describe digitalization professions as “competence profiles that are needed to develop and produce new digital key technologies or to realize their use and dissemination through in-depth technical knowledge and skills.”
According to the forecast, the biggest shortage will be among computer scientists: by 2027, there will be a shortage of around 19,000 experts with academic degrees (master’s or diploma) and 3,000 IT specialists with training. There are also large gaps in the skilled trades sector: there is a shortage of more than 15,000 construction electricians, more than 13,000 electrical engineers and around 11,000 electrical operating technicians. Workers in mechatronics, mechanical engineering and industrial engineering, software development and business information technology are also scarce and sought after (see table).
Table: Skills gap in digitalization professions in 2027
| Profession | Lack of workers |
| Computer Science (Master/Diploma) | 19,022 |
| Construction electrical engineering (training) | 15,477 |
| Electrical Engineering (Master/Diploma) | 13,427 |
| Electrical operating technology (training) | 11,070 |
| Mechatronics (training) | 8211 |
| Mechanical and industrial engineering (training) | 7664 |
| Software development (Master/Diploma) | 7023 |
| Business Informatics (Master/Diploma) | 6163 |
| IT system administration (further training/bachelor) | 4196 |
| Technical production planning/control (Master/Diploma) | 4173 |
| Computer science (training) | 3045 |
| IT application consulting (master/diploma) | 3003 |
Source: IW Cologne
Battle for the bright minds
The data also shows in which professions the skills gap will increase particularly significantly compared to 2022 (computer science, IT system administration) and in which it will decrease (for example mechanical engineering and industrial engineering). According to IW, the skills gap across all professions considered is increasing from 123,000 in the previous record year of 2022 to 128,000 in 2027.
The gap is growing, even though more employees are going into needed jobs. By 2027, the number of employees in digitalization jobs will increase by almost 14 percent to more than three million, the economists write. But that is not enough to meet the growing demand. “Companies in Germany are demanding significantly more skilled workers with digital expertise than the labor market offers,” explains study author Alexander Burstedde. “The battle for bright minds is increasingly becoming a zero-sum game: one person’s expertise is another person’s gap.”
What helps against a shortage of skilled workers
In their analysis, which was carried out on behalf of the Federal Ministry of Economics, the IW economists rely on data series on vacancies, unemployment and demographics and extrapolate these numbers into the future. The figures for 2027 therefore describe a scenario that the labor market is heading towards if current trends continue. Changes in economic trends or political decisions can of course influence developments.
According to the study, the decisive factor is whether it is possible to increase the number of skilled workers in demand. The IW economists recommend that young people be given more information about promising careers and supported with career orientation. In addition, older people should be given more qualifications and unemployed people should be retrained for shortage occupations. The infrastructure for childcare also remains an issue in order to enable parents to work more.
But more qualified immigration is also unavoidable. “Skilled workers in digitalization professions are in demand worldwide, which is why we should make it as easy as possible for you to choose Germany,” said Burstedde. “This requires a stronger service orientation, especially when it comes to bureaucracy, finding accommodation and integration. The state, employers and society are all in demand.”
Source: Stern
