Why launch the Union of Skills now?
Europe is experiencing a skills crisis that threatens its competitiveness and innovation. Skills shortages are widespread. Four in five SMEs struggle to find workers with the right skills, especially in new technologies like AI and quantum computing. The working-age population is expected to decline from 265 million in 2022 to 258 million by 2030.
- Education systems cannot keep up with technological changes. Nearly half of young people lack basic digital skills, and performance in mathematics, reading, and science is declining. Only 40% of adults participate in education or training, while nearly 90% of jobs require digital skills.
- Gender inequality in STEM and fragmented governance exacerbate the issue.
Without urgent action, labor shortages in high-demand sectors will increase, limiting Europes economic growth and global competitiveness.
How will the strategy address these issues?
The Union of Skills focuses on four pillars to empower everyone in Europe with solid skills:
- Building skills for quality life and jobs through strong educational foundations;
- Upskilling and reskilling for the digital and green transition;
- Circulating skills within the EU for competitiveness;
- Attracting, developing, and retaining talent for Europes future.
The Commission will launch actions under each pillar in collaboration with citizens, businesses, and education providers.
How is the Union of Skills funded?
Education and skills are investments that yield multiple returns. The current EU budget allocates over €150 billion to education and skills through programs like ESF+, RRF, ERDF, Erasmus+, and InvestEU.
Beyond EU funds, the Union of Skills will also stimulate private sector investment.
How will the strategy improve basic skills provision?
Skills should be built through strong educational and vocational training systems in a lifelong learning approach. An Action Plan for Basic Skills will pilot a Basic Skills Support Scheme.
What actions are proposed to tackle skills and labor shortages in the EU?
Actions cover different education and training levels, aiming to promote labor market participation.
The new European Strategy for VET will address skill shortages by enhancing its attractiveness and labor market relevance.
How will the strategy make it easier for skilled people to move freely across Europe?
The Skills Portability Initiative will help make qualifications visible and recognized across the EU.
How will we attract and retain top talent in Europe?
The Union of Skills proposes measures to attract and retain talent from third countries, including improvements to the EU Talent Pool and a Visa Strategy.