EU Talent Attraction: Addressing the Skilled Worker Shortage

Despite its many advantages, such as family friendly societies, digitalization, and high standards of living, the European Union as a whole, faces challenges in attracting and retaining skilled professionals due to a range of systemic issues and policy irregularities, coupled with a wider range of societal and economical elements and language barriers. One good example is the inconsistent implementation of the EU Blue Card program across member states. Each country has its own additional criteria and procedures. The application process itself can be lengthy and complicated, involving numerous administrative and legal requirements, such as securing a job offer and meeting salary thresholds. ³ Additionally, there are challenges related to the recognition of foreign qualifications and professional experience, which can delay or prevent skilled workers from obtaining a Blue Card. While the Blue Card allows for some mobility within the EU, it is still limited, as cardholders often need to reapply if they wish to move to another member state for work. ⁴

However, it is noteworthy to mention that several countries within the EU have been forerunners in easing permit procedures for example with the support of AI and digitalization of services. Several other promising examples of tackling integration challenges and strengthening the skills environment are found throughout many EU Member States. One example is Finland’s Talent Boost Programme (2023-2027) encompassing a wide range of initiatives, such as branding and awareness campaigns bolstering Finland’s appeal to potential immigrants and the digitalisation and fast tracking of services. The programme aims to enhance international recruitment, simplify migration service processes, retain international talent, and prevents labour exploitation. ⁵ Finland’s Talent Boost Program serves as a good example of the type of cooperation the EU Commission is calling to action on, with cities, regions, local organisations and employers collaborating to reach their specific goals in talent attraction. Similarly, in Denmark, ⁵ International House Copenhagen is a collaborative effort providing services ranging from residence permits to job search assistance. ¹⁴  An example worth giving more attention to and gathering learnings from, is Estonia’s e-Residency Program, allowing non-EU citizens to start and manage an EU-based company online, attracting digital entrepreneurs and remote workers. ⁶

Heightened political sensitivities around the topic of migration to the EU Member States is however impacting the perceptions and choices the international top talent makes. Stricter immigration policies that reflect the political environment with nationalistic and protectionist tendencies can create a less welcoming environment for skilled workers. ⁷ A recent example is Finland, with its plans to tighten citizenship laws, including stricter language requirements and longer residency periods. Additionally, the Finnish language poses a substantial barrier to integration. The most recent proposal submitted by the Government to the Parliament, planned to come into force as of April 2025, suggests that an unemployed person in Finland on a work-based residence permit would only have three to six months to find a new job. If no new job is found and there are no other grounds for continued residence, then the permit is to be cancelled, and the worker would have to leave Finland. ⁵

To remain competitive in the global market for skilled professionals, the European Union is rolling out a series of strategic initiatives aimed at significantly boosting its attractiveness to top-tier talent from around the world. ⁴ One key measure, presented by the European Commission in 2023 and accepted by the Council in mid-June 2024, is the establishment of an EU Talent Pool. This EU-wide online platform matches profiles of jobseekers from outside the EU with job vacancies for shortage occupations of EU employers. ¹¹ This platform enables facilitation of international recruitment, providing opportunities for third-country nationals to work in identified shortage occupations. The EU Talent Pool complements well the EU Comission Talent Partnerships initiatives which aim to strengthen cooperation between the EU, Member States and partner countries to boost international labour mobility and development of talent in mutually beneficial ways. Most recently, the European Comission launched a Talent Partnership programme with Bangladesh. ⁸

Another key focus area is on simplifying the recognition of qualifications of Third-Country Nationals. ⁴ This is an essential improvement as qualifications levels are often used to set entry requirements for jobs and can impact career advancement and remuneration. Qualifications are often required to demonstrate compliance with standards and requirements to work in certain roles, for example in regulated professions such as medicine, nursing, pharmacy, architecture, and professions such as civil engineers, electricians and plumbers. Another factor hindering access to labor markets, is recognizing qualifications in the context of visas and permit procedures which differs between Member States. The costs and timeline for translations, verifications and additional requirements are difficult to navigate for jobseekers and potential employers. Additionally, migration processing based on qualifications and formal education, does not always capture the full skills set and potential. The European Commission is for example aiming to develop the capacity of national recognition authorities to improve comparability of third country qualifications and assessment jobseekers' skills. This will allow for recognition decisions to be expedited with regulated professions. Good reference points on successful simplification of qualifications are available already, such as Germany’s Skilled Immigration Act, which simplifies the visa process and recognizes foreign qualifications, making it easier for skilled workers from non-EU countries to work in Germany.⁹

Additionally, stemming from the need of ensuring correct skills sets are available for the digitalization and green transition, leading to economic restructuring in the region, the EU Commission is emphasizing the need for a joint approach to so called learning mobility. The possibility to study and learn in one country and move on to work in another EU country, get on-the-job training and work-based learning, is a vital part of ensuring skills-gaps can be addressed under fast-changing economic structures. ¹⁰ Providing visas for trainees or recent graduates to stay in the EU for entry-level jobs would help keep young talent and provide them with valuable work experience. In the United States, the Optional Practical Training (OPT) program allows international students to stay and work for up to three years after graduation^.6 Leveraging existing university programs to create pathways for students to stay and work in the EU can significantly enhance the region’s talent retention. For example, in the United States, the Nonwovens Institute at North Carolina State University collaborates with over 70 industrial partners to provide research opportunities, internships, and job placements for students, significantly contributing to retaining talent within the region. Universities in the EU can develop similar partnerships with local industries and businesses. ¹²

With the above measures implemented widely and efficiently in the region, the EU region can enhance talent mobility and attractiveness of the region. However, there would be room to consider also other means of attracting and retaining skilled migrants.

One group of talent which could be supported better by EU level migration policies, are the start-up founders. In many countries, the share of immigrant founders or co-founders of start-up companies is considerable or growing in importance. ¹³  Given the role of migrants in driving growth of start-ups, a shared framework for start-up visas, promoting and sharing best practices on EU level for successful examples in different member state and funding for building an efficient fast-track process for migration for entrepreneurs, could lead to EU countries being more successful in attracting entrepreneurs. Entrepreneurs may not fit into the skilled migration application categories due to falling short from requirements such as salary or formal education and often cannot benefit from fast-tracks built for certain skilled migration programmes.

To further enhance talent attraction, an EU-level process to counter nationalism and protectionism could help create a more welcoming environment for global talent. Canada has implemented a comprehensive immigration strategy that includes promoting the benefits of immigration 

Lastly, stronger EU financing to automate application processes would streamline immigration procedures, making it easier and faster for skilled professionals to relocate to the EU. However, concurrently, it is important to take into account the circumstances in the jobseeker’s country of departure.  Online or automated AI processing of applications requires the applicant to also have access to reliable networks and digital infrastructure. It can be extremely burdensome for an applicant to get access to a high-speed internet, produce scanned copies of documents,  insert information into forms online and follow the progress and instructions not available in their native language. In the rush of digitalization of processes, easy access and personal guidance for the application processes should not be undermined.