Demographic Change and Skills Shortages: How Companies in Austria Can Take Smart Action Now
Austria is Changing – and Businesses Can Feel It
Our world of work is facing major changes. Demographic shifts mean that Austria’s age structure will look very different in the coming decades:
- More and more people will be over 65 (27.7% in 2050 compared to 19.2% in 2020)
- Fewer people will be of working age (20–65 years): only 53.8% in 2050 compared to 61.6% in 2020
- The share of under-20s will also shrink slightly
In short: the number of people available for work is going down – and that has a direct impact on the labor market.
The Skills Shortage is Already a Reality
This change isn’t just something for the future – it’s already happening today, as the numbers show:
- 73% of companies see the skills shortage as a serious risk
- 63% report too few or inadequately qualified applications
- 206,000 positions remained unfilled in Austria in 2023 alone
This isn’t just a problem for individual businesses, but for the economy as a whole.
What Businesses Worry About Most
The WKO asked companies which risks concern them the most. At the very top of the list: the shortage of skilled workers. But rising energy costs, high taxes, inflation, and bureaucratic hurdles are also big issues.
The message is clear: companies that want to succeed today must tackle multiple challenges at once – and securing talent is one of the most important.
Thinking Strategically: New Paths in Recruiting
Sticking your head in the sand won’t help. A smarter approach is to start exploring new options now. For example:
- Partnering with specialized recruitment agencies
- Actively recruiting skilled workers from non-EU countries
- Developing long-term strategies for international recruiting
The advantage: those who start early gain valuable experience before the market tightens even further – and secure a real competitive edge.
International Talent as a True Asset
Skilled workers from abroad don’t just bring the expertise that’s urgently needed. Often, they offer additional benefits:
- New ways of thinking and fresh ideas
- Intercultural diversity that makes teams more creative and innovative
- Impulses that enrich company culture – from culinary variety to deeper insights into international customer needs
Conclusion: Act Now to Stay Strong Tomorrow
Demographic change is a fact. But how businesses respond to it is a matter of strategy. Those who invest in new talent pools today will future-proof their companies – and stay competitive in the long run.
Sources:
- Statistik Austria, Population Structure Forecast
- WKO Business Survey 2023
- AMS Labor Market Data (as of October 2023)