Exploding gap of IT talent in Germany until 2040

Market analysis and opinion

Exploding IT talent gap in Germany

The Federal Institutes for Vocational Education for Development the demand and supply of skilled workers in Germany analyze in its 2024 report the development of the availability of IT talent in Germany.

Here are a few key points as per summary and survey by bitkom:

  • by 2024 around 30% of Germany’s IT workforce is retiring
  • About 120,000 additional IT professionals will join the labor market until 2040
  • At the same time the demand for IT professionals will grow with about 630,000

In the short summary bitkom gives a few points regarding planned actions and anticipations countering the trend:

  • Introduce measures to keep older employees in the sector (about 68,500)
  • Winning more young folks and woman for IT education (about 107,000)

With that bitkom analyst hopes that the gap can be at least cut by half. The other half is anticipated to be filled via immigration.

Unrealistic scenario

We evaluate the proposed solutions and the anticipated immigration as rather unrealistic.

Fixing education is highly unlikely, keeping older IT professionals in the job is a good idea, but looking at the progress of IT careers this is also unlikely to fix the gap for software developers and coders. Immigration is not going to help as only very few immigrants will speak German to an acceptable level and German companies tend not to be willing to establish English at least partly as corporate language.

The real solution – that will also solve the labor market shortage now and in the 15 years until 2040 – is building strategic cooperations with IT expert companies abroad. But even here German companies need to adapt and build a new type of IT-operations – flexible, capable and future proof.

Source: https://www.bitkom.org/sites/main/files/2024-04/240411Bitkom-Charts-IT-Fachkraftemangel-2040final.pdf

Author: Stephan Fricke, CEO Deutscher Outsourcing Verband e.V.

Independent ICT market support for Germany and international markets

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Phone: +49 (0)391 50558231

Daniel Zurfluh – New member of the association’s Advisory Board

Daniel Zurfluh appointed as new member of the advisory board

Daniel Zurfluh has been appointed as member of the association’s advisory board for representing the Armenian ICT sector.

In this role Daniel will continue to collaborate with the German Outsourcing Association on activities that connect Armenian and European ICT businesses. To his past activities with the association count organising events and delegations, supporting publications and providing news and information about the Armenian software industry.

Daniel was born and raised in Switzerland where he received a federal degree as a Mechanical Design Engineer and a Bachelor of Sciences degree in Business Administration (Marketing) from the Lucerne University of Applied Sciences and Arts.

In the mid 1990s Daniel lived for in Armenia and later for 15 years in California. Since 2016 Daniel has been promoting Armenia’s high tech sphere to Switzerland, Germany and Austria (DACH) as well as other countries.

He works as an independent consultant and in this role collaborates closely with the management and the teams of  selected Armenian software houses  that offer development and IT management services, data science and analytics consulting.

Daniel is an avid connector and helps to foster collaboration within the Armenian economic sphere as well as connecting that sphere to the corresponding ones in the DACH region for example through his involvement with the German Business Association in Armenia, the Internal Chamber of Commerce (National Committee Armenia), the Switzerland-Armenia Chamber of Commerce and the Joint Chamber of Commerce – JCC (CIS countries).

Independent ICT market support for Germany and international markets

www.outsourcing-verband.org

About and Contact

Email: office@outsourcing-verband.org

Phone: +49 (0)391 50558231

Outsourcing Destination Guide Uzbekistan released

Outsourcing Destination Guide Uzbekistan released

This guide provides information for professionals and organisations interested and/or involved in buying, providing, or advising in ICT, business processes, and global business services. The information helps to better understand the local conditions and opportunities in the ICT sector in Uzbekistan and to get to know the relevant local companies, experts and professionals, and support organisations.

The Outsourcing Destination Guide Uzbekistan has been developed in cooperation with IT Park Uzbekistan in Germany and has been produced independently without representing any commercial interests of the participating companies.

Independent ICT market support for Germany and international markets

www.outsourcing-verband.org

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Email: office@outsourcing-verband.org

Phone: +49 (0)391 50558231

Outsourcing Destination Guide Ethiopia released

Outsourcing Destination Guide Ethiopia released

The Ethiopian Information and Communications technology (ICT) sector has been growing rapidly in recent years, propelled into its lift-off phase by the government’s continuous focus on developing the digital economy. Currently, the industry is primarily focused on expanding its ICT infrastructure. However, software development and IT services follow right behind, particularly web and mobile app development, software testing, and IT consulting. > Download the guide for free to read more

This publication is an independent information guide published by Deutscher Outsourcing Verband e.V. (German Outsourcing Association) as a joint initiative with International Finance Corporation IFC.

Independent ICT market support for Germany and international markets

www.outsourcing-verband.org

About and Contact

Email: office@outsourcing-verband.org

Phone: +49 (0)391 50558231

European – Africa ICT Business Panel

European - African ICT Business Panel

International ICT Location Discovery Conference

The purpose of this conference is to support European and African IT specialist companies in their efforts to internationalise business and services delivery and take advantage of favourable conditions and access to markets.

We present location insights and local IT entrepreneurs and their organisations, and prove the capabilities of three emerging ICT services delivery locations in delivering competitive digital solutions and services for international markets.

Independent ICT market support for Germany and international markets

www.outsourcing-verband.org

About and Contact

Email: office@outsourcing-verband.org

Phone: +49 (0)391 50558231

Ukraine – Africa ICT connect program

Ukraine - Africa ICT Sector Support and Connect Program

The program – commissioned and financed by Deutsche Gesellschaft für Internationale Zusammenarbeit GIZ – aims to support ICT sectors in 4 countries: Ukraine, Ghana, Egypt and Rwanda by connecting these markets and find opportunities for collaborations.

  • Provide access to markets
  • Provide access to tech talent
  • Optimise services delivery and cost
  • Discover new markets

The program includes several activities such as information campaigns, interviews with companies’ executives, meeting and networking events, publications and more.

Independent ICT market support for Germany and international markets

www.outsourcing-verband.org

About and Contact

Email: office@outsourcing-verband.org

Phone: +49 (0)391 50558231