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Wido Geis-Thöne IW-Trends 17. November 2022 Securing Skilled Labour by Attracting and Retaining International Students: The Status Quo and Suggested Approaches for Policymakers

The demographic transition is expected to leave Germany with a serious shortage of skilled workers. To alleviate this bottleneck, more young people from abroad should be trained at German universities and offered the prospect of long-term residence.

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The Status Quo and Suggested Approaches for Policymakers
Wido Geis-Thöne IW-Trends 17. November 2022

Securing Skilled Labour by Attracting and Retaining International Students: The Status Quo and Suggested Approaches for Policymakers

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German Economic Institute (IW) German Economic Institute (IW)

The demographic transition is expected to leave Germany with a serious shortage of skilled workers. To alleviate this bottleneck, more young people from abroad should be trained at German universities and offered the prospect of long-term residence.

To date, the scale of this form of immigration has been relatively modest. In 2019, for example, a total of 307,000 people aged between 25 and 64 had acquired their highest school certificate abroad but their highest university degree in Germany – a mere 3 per cent of all graduates in this age group. By contrast, at 15.3 per cent, the proportion of im migrants who had already completed their university degree before entering the country was more than five times higher. However, the qualifications acquired by those who entered the country prior to completing their higher education made a particularly positive contribution to the pool of skilled labour, since a larger share of them had gained a bachelor’s degree, a master's degree or a doctorate in the STEM subjects. They also tended to be working in positions that matched their qualifications. To increase immigration via higher education, policymakers should start with the financial resources required by students from non-EU countries to obtain a residence permit and establish an appropriate scholarship or funding guarantee programme. The author also recommends targeted marketing to attract international students to Germany with the prospect of subsequent permanent residence

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The Status Quo and Suggested Approaches for Policymakers
Wido Geis-Thöne IW-Trends 17. November 2022

Securing Skilled Labour by Attracting and Retaining International Students: The Status Quo and Suggested Approaches for Policymakers

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German Economic Institute (IW) German Economic Institute (IW)

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