The demographic transition presents companies in Germany with the challenge of mastering digital transformation processes with an ageing and increasingly age-diverse payroll.
Managing Change with an Ageing Workforce: Identifying Opportunities and Barriers: Results from the IW Personnel Panel 2019
IW-Trends
German Economic Institute (IW)
The demographic transition presents companies in Germany with the challenge of mastering digital transformation processes with an ageing and increasingly age-diverse payroll.
The growing pressure on firms to adapt and change can spawn conflicts in the workforce. Around one in four personnel managers report frequent tensions among staff due to differing interests and values. In some 59 per cent of companies, difficulties often arise, particularly during transition processes, when employees are reluctant to give up the status quo. In 45 per cent of enterprises, the staff frequently lack the skills necessary for successful change management. Company-specific support measures are one possible solution. Around 66 per cent of companies in Germany respond to the different age-related needs of their workforce. They do this, for example, by creating a working environment conducive to learning or ensuring flexible and varied working conditions by regularly changing employees’ jobs and activities so that they can continue to learn. Companies that motivate and empower their workforce in this way are significantly less likely to report that their employees lack the ability or willingness to change.
Christiane Flüter-Hoffmann / Andrea Hammermann / Oliver Stettes: Wandel mit alternden Belegschaften gestalten – Chancen und Barrieren erkennen
IW-Trends
German Economic Institute (IW)
Workplace Climate Index 2025: Employees give their workplace high marks
Most employees in Germany rate their working conditions positively. Between late May and early June in 2025 around 5,000 employees were asked to evaluate nine key characteristics of their workplace using school grades.
IW
Trust-based working hours and quality of work
In the coalition agreement for the 21st legislative period, the government intend to regulate working time recording in an unbureaucratic manner and continue to allow trust based working hours without time recording, in line with the European Working Time Directive.
IW