Skills shortage: companies fear an increase in staff shortages

The shortage of skilled workers continues. This is shown by the recently published Swiss Skills Shortage Index The results of a recent survey conducted by the opinion research institute YouGov. This was conducted on behalf of B2B platform operator Visable between September 19 and 25. In Switzerland, 135 HR decision-makers and members of senior management were surveyed, in Austria 226, in Germany 600 and in France 526.

Skills shortage affects the whole of Europe

The results illustrate the dramatic effects of the shortage of skilled workers. Around half of those surveyed (49%) stated that the lack of suitable personnel is already having a "rather strong" or even "very strong negative impact" on business success. Only 15 percent of companies report no negative impact. The negative effects are just as serious in Germany, France and Austria as they are in Switzerland. On average across all countries, every second respondent (51%) rates the impact as "rather strong" or even "very strong", with almost 6 in 10 respondents in Austria making this assessment (58%). Across all countries, decision-makers take a gloomy view of the future: one in two (48%) expect the situation to deteriorate, while just 6% are hopeful of an improvement. The shortage of skilled workers therefore appears to be a pan-European problem and is weighing on the development of the economic area.

Increase in staff absences due to shortage of skilled workers

According to the Swiss respondents, one of the biggest effects of the skills shortage is a significant increase in the workload of the workforce (32%). More than one in four respondents also stated that the shortage of skilled workers is leading to more staff absences and sick leave (27%) - all in all, extremely turbulent times for HR managers and challenging times for employees. The most frequently expressed fear among Swiss companies is the loss of know-how and quality due to a lack of skilled workers. Almost 4 out of 10 respondents gave this answer (39 percent). The shortage is also already clearly reflected in increased personnel costs (28 percent). Particularly worrying for the future: one in four companies (26%) are finding succession planning more difficult due to the lack of suitable candidates.

Wave of emigration due to skills shortage?

The following figure also shows how dramatic the situation is perceived to be: around one in seven companies (15 percent) are already considering moving abroad, at least in part. If these plans were put into practice everywhere, this would affect many thousands of companies in Switzerland. A wave of emigration is therefore imminent over the next few years. This is despite the fact that many companies are already using a wide range of measures to cushion the negative effects of the skills shortage in view of the critical situation. This is where the approach in Switzerland differs noticeably from the other countries in the survey. In all other markets, expanding in-house recruitment is the most popular measure and is mentioned by one in three respondents there on average (34%). In Switzerland, only one in five (21%) rely on their own active search for suitable employees, while Swiss companies primarily seek their salvation in outsourcing measures (26%).

Digitalization as a response to labour shortages

Another source of hope is digitalization. When it comes to the use of AI as a response to the shortage of skilled workers, Switzerland is at the top of the surveyed markets: 21% already mention this measure. The average figure for all other countries is just 16%, and in Austria it is only 11%. One in five companies in Switzerland also relies on digitalization and automation (21%) to combat the negative effects of the shortage of qualified personnel. Internal skills and knowledge transfer programs are also very popular with 25 percent.

 One in four companies wants to attract skilled workers with better contract conditions, including 23% offering above-average industry salaries and 25% offering flexible employment models such as a 4-day week. The Swiss business community is therefore responding actively and creatively to the challenges posed by the shortage of staff and skilled workers.

Demands on politicians 

Swiss SMEs are confronted with a high administrative burden and administrative hurdles due to the ongoing shortage of skilled workers: One in four companies is urgently calling for a reduction in bureaucracy from politicians (24%). There is also a strong desire for family and social policy measures, for example to improve the work-life balance (25%). By contrast, only a small proportion of respondents were in favor of traditionally liberal economic measures such as flexible dismissal and re-employment regulations (14%) and an increase in the retirement age (9%). The influx of skilled workers from abroad is also less of a focus. Only 11% of respondents want to see greater support for qualified immigration.

Source: Visible