Labour shortages and surpluses in Europe 2024

Verian, in collaboration with Cambridge Econometrics, contributed to the seventh edition of the European Employment Services (EURES) report, commissioned by the European Labour Authority (ELA).

The 2024 report features a dedicated examination of labour shortages within the transportation and storage sector, which is facing substantial labour shortages in the EU, particularly in occupations such as drivers and mobile plant operators.

To better explain the causes of labour market shortages in the transportation and storage sector, Verian led a sub-sectoral analysis of five subsectors: land, water and air transport, warehousing, storage and support activities for transportation and postal and courier activities. This sectoral analysis drew on a literature review at both EU and national levels, supplemented by insights from focus groups and interviews with sub-sector level stakeholders.

Key findings from the sub-sector analyses:

• • Demographic shifts affect the age balance in the sector’s occupations, with repercussion on labour shortages due to increasing retirement rates and challenges of older workers in adapting to new technologies and coping with physically demanding tasks.
  • The age imbalance is further compounded by unattractive working conditions and concerns around job strain and safety, which are particularly relevant for women and younger individuals.
  • Changes in the business models, increased sub-sectoral privatisation and competition have led to poorer working conditions and unstable contractual arrangements which can lower salaries the level of employment protection and security.
  • The overall transportation and storage sector is undergoing significant transformations due to digitalisation, automation and the green transition, and diversification of tasks, presenting both opportunities and challenges.
  • Digitalisation demands a growing need for reskilling and advanced skills, while lower-skilled roles are at risk of automation. Many workers must adapt to new digital tools and technologies, but training participation remains suboptimal with a shortage of skilled workers expected in technical and engineering roles.