The dynamics of wage increases should follow the growth of economic and company efficiency indicators.Continue reading
Márton Nagy, Hungary’s Minister for National Economy, emphasized in Brussels that addressing the shortage of skilled labor remains the most pressing challenge for the European labor market. Speaking at the Employment, Social Policy, Health, and Consumer Affairs Council meeting, he highlighted that 77 percent of companies report operational limitations due to this shortage, while 60 percent see it as a barrier to investment.
Minister Nagy expressed hope that the Council would endorse conclusions aimed at mobilizing untapped labor potential across the EU. This initiative seeks to enhance competitiveness by fully utilizing the workforce. He noted that discussions would shape future employment and social policies, particularly for the 2025 European Semester.
Minister Márton Nagy. Photo: MTI/Purger Tamás
He stressed that the most challenging point of Monday’s debate will be the drafting of the directive on apprentices.
The Hungarian EU presidency wants to reach a general approach on this issue, providing a mandate to start negotiations with the European Parliament.
He said that there is not yet a qualified majority within the council, but positions are converging.
Ádám Kósa, State Secretary for Disability, also underlined the importance of social inclusion in addressing territorial disparities and improving access to essential services. Promoting employment opportunities for people with disabilities remains central to reducing poverty and enhancing social cohesion.
The politician emphasized Hungary’s commitment to social policies that foster labor market inclusion, stressing that employment is key to economic stability.
My position is that if there is work, there is everything,”
he concluded.
Looking at the data on this phenomenon, according to the November 2023 Eurobarometer survey, skills shortages are one of the most serious problems for small and medium-sized enterprises (SMEs) in the EU, with 53 percent of micro enterprises (<10 employees), 65 percent of small enterprises (10-49 employees), and 68 percent of medium-sized enterprises (50-249 employees) citing them as a constraint. Looking back over the previous two years, 61 percent of micro enterprises, 77 percent of small enterprises, 80 percent of medium-sized enterprises, and 85 percent of large enterprises found it difficult to find and recruit staff with the right skills.
Via MTI; Featured image via Pexels
