Demographic Shifts Threaten Workforce in Eastern Germany

A new study reveals significant declines in working-age populations in Thüringen, Sachsen, and Sachsen-Anhalt, with wide-ranging economic implications.

• Thüringen is projected to experience the steepest decline in its working-age population, with a 15.8% drop by 2040, according to the IAB study.
• Sachsen and Sachsen-Anhalt are also expected to see significant reductions of 9.4% and over 10%, respectively, in their working-age populations by 2040.
• Job losses are anticipated in key sectors such as construction, public administration, retail, and education, while healthcare and social services are expected to grow due to an aging population.
• The study warns of potential economic downturns in these regions if targeted measures, such as leveraging older workers, women, and foreign professionals, are not implemented.
• Experts emphasize the need for improved integration of foreign workers through credential recognition, language training, and professional development to address labor shortages.

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