Malta Digital Skills and Jobs Platform (LISP)

Skills Intelligence Publication

This CEDEFOP policy brief argues that the EU labour market is being reshaped by demographic ageing, the green transition, and rapid technological change, particularly digitalisation and AI. These trends are increasing demand for vocational education and training (VET) skills, yet significant shortages persist across key sectors such as construction, manufacturing, transport, and care. In 2024, shortages affected 22 VET occupations EU-wide, driven not only by an ageing workforce but also by structural issues such as poor working conditions, low job attractiveness, and gender imbalances.

The brief identifies multiple, interlinked drivers behind these shortages. These include declining enrolment or completion rates in certain fields, especially ICT, limited training capacity due to teacher shortages, and outdated curricula that struggle to keep pace with green and digital transitions. Institutional barriers, such as restrictive enrolment caps and slow recognition of foreign qualifications, further constrain labour supply. While AI is expected to disrupt employment, VET occupations are generally less exposed to automation risks and remain valuable for their strong provision of transferable, job-relevant skills.

To address these challenges, the brief calls for coordinated EU and national action focused on improving the attractiveness and quality of VET pathways, enhancing working conditions, and expanding training capacity. It also emphasises the need to modernise curricula, strengthen collaboration between education providers and industry, and promote inclusion by tackling gender stereotypes. Embedding digital and AI-related competences across VET programmes is seen as essential to ensure long-term employability and resilience in a changing labour market.