Global Insights

German Immigration Law - Reforms give access to more skilled worker from Non-EU countries

Many companies have had considerable difficulties finding qualified skilled workers for a long time. The number of vacancies in 2022 was around 1.98 million, the highest ever recorded. Skilled labour shortages affect companies in a wide range of industries and regions and are evident, for example, in the health and care professions, in childcare, in the IT sector and in many other production and service professions. The shortage of skilled workers has become a risk to prosperity in Germany. The demographic trend will further intensify this development.

The new Skilled Workers Immigration Act creates new opportunities to enter Germany for gainful employment or training.

What is new is that anyone with a university degree acquired in Germany will be able to take up any qualified occupation in future.

The second path focuses on work experience. This allows immigration to workers who have at least two years of work experience and a vocational qualification recognised by the state in their country of origin. However, a salary threshold must be met or the employer must be covered by a collective agreement. In future, the vocational qualification no longer has to be recognised in Germany - this means less bureaucracy and thus shorter procedures.

In future, anyone who wants to have their professional qualification recognised in Germany can do so only after they have entered Germany. To do so, skilled workers and employers must commit to a recognition partnership. This offers advantages to both sides: The employer can employ a qualified skilled worker more quickly. And the employee can catch up on the recognition procedure in Germany and do qualified work on the side. In our experience, such a certificate of equivalence is difficult to obtain and there is a risk in having the training recognised only after entering the country. In case of rejection, the applicant has to leave the country or complete the necessary additional training.

The third way focuses on people's potential. An opportunity card for job-seeking based on a points system is newly introduced. The selection criteria include qualifications, knowledge of German and English, work experience, connection to Germany, age and the potential of the accompanying spouse or partner. The Chance Card makes the search for a job much easier. Even during the job search, employment of up to twenty hours per week is permitted, including trial employment with a future employer for up to two weeks.

In addition, a contingent short-term employment scheme will be created for the first time for sectors with particularly high demand. Those who come via this route are allowed to work in Germany for eight months, regardless of qualification. The prerequisite is an employer who is bound by collective agreements. Employment will be subject to social security contributions from day one.

Source: https://www.bmi.bund.de/SharedDocs/pressemitteilungen/DE/2023/03/fachkraefte-kabinett.html

It is still unclear when this new immigration law will come into force. The following steps are necessary to implement and apply a new law in Germany:

1. draft bill

2. participation of the provinces and associations (statements)

3. cabinet decision (government draft)

On 29 March, the new Residence Act was presented to parliament and passed. The following steps are still necessary:

4. comments in the Bundesrat

5. readings in the Bundestag

6. conclusion of the law

We expect the new Residence Act to come into force on 1 January 2024.

For any questions or need for professional support of immigration of your international employees, contact us here: [email protected].