Large shares of companies across OECD countries report staff shortages, and lacking the necessary skills to operate. Despite a declining unemployment rate, the labour market is tightening, with an estimated need for 3 million workers in the coming years in Italy alone, particularly in the digital sector. Low productivity, an aging population, and poor economic growth in recent years worsen the problem.
There are opportunities to exploit the green and digital transitions by leveraging the potential of local ecosystems to fill job shortages. Companies can focus on employee well-being, training, and work-life balance to improve retention and attraction in areas with housing challenges. Regions can improve their attractiveness through effective local government policies, such as enhancing connectivity between territories and improving labour mobility. At the country-level, increasing productivity, investing in human capital, and boosting labour market participation, especially among women and migrants, are critical.
Session organised by the OECD Trento Centre for Local Development and the Global Forum on Productivity within the 19th Trento Festival of Economics in Trento.