The Federal Employment Agency (BAP) reports that the digitization in the labor market will lead to profound changes in demand for talent in Germany.

In a study commissioned by UK professional services firm PricewaterhouseCoopers (PwC), the digitization in the labour market will increase demand for talent in the healthcare and pharmaceutical sector by 300,000 within the next 15 years. The technology and communications and public administration sectors are also expected to see an increase in talent demand.

The largest decline in the demand for personnel will be within the commercial sector where in 15 years, 900,000 job roles will be deemed superfluous. Demand in the industrial sector is also expected to decline as 500,000 workers could be affected by the digitization of the labour market. The workforce reduction is also likely to affect the economic activities of the transport and logistics, financial services and automotive industries.

However, the research also shows that a skills shortage in Germany could be alleviated by the digitization of the labour market. In particular, academics and professionals with a technical or scientific background will benefit from digitization.

According to PwC CEO, Norbert Winkeljohann, digitization means a "revolution" for the company and should be seen as an opportunity to change the world of work.

“Those who are missing out on digitization is risking the future of their company," Winkeljohann said.