Boston Consulting Group detailed in July 2014 a growing issue of labor shortages. Of the four BRIC countries widely recognized for growth potential, only India is safe from an impending shortfall.
Japan was hit in 1995, and now Germany faces a projected 2.4 million dollar labor shortage in 2020; growing to 10 million by 2030. South Korea, Italy, Poland, Russia and Brazil are in similar situations. Some other countries will have a surplus in 2020 (Italy: 2 million, Canada: 1 million, China: 55 to 75 million) that will be a deficit by 2030.
The cause for this impact includes:
a) birth rates (China’s one child law went into place in 1979…that generation is in their 30’s today),
b) retirement ages,
c) immigration policies,
d) yearly working hours, and
e) worker productivity / skill levels.
Will national labor shortages have an impact on your company?
