Several developed countries are reportedly experiencing a labor shortage crisis, driven by multiple factors such as declining birth rates and a lack of workforce regeneration. In addition, rapid technological advancement has not been matched by the growth in labor supply, causing a serious workforce gap across sectors.

According to the Manpower Group 2024 Report on Talent Shortages, countries like Japan, Germany, Canada, and Singapore are facing a skilled labor shortage, with deficits exceeding 79%. Nations with a large elderly population, such as Japan (30%) and Greece (23%), are under dual pressure—an aging workforce and unfilled positions that are difficult to replace quickly.

In Japan, about 86% of cities and prefectures are actively recruiting foreign workers, particularly in education, healthcare, and technology.

This presents a significant opportunity for Indonesians, especially young job seekers who are currently struggling to find employment within the country.

However, working abroad requires more than just technical knowledge. Indonesians need to be well-prepared and culturally adaptable, as overseas environments are often very different from Indonesia.

Here is a list of countries currently experiencing labor shortages and actively recruiting foreign talent:

1. Japan

Japan is facing serious demographic challenges, including an aging population and low birth rates, which make workforce regeneration difficult. Japan ranks as the country with the most severe labor shortage, with 85% of companies reporting difficulties in recruitment. Around 86% of Japanese cities and prefectures are opening recruitment channels for foreign workers, especially in healthcare, technology, and education.

2. Greece and Germany

In Europe, Greece and Germany are both experiencing an 82% talent shortage. Greece has recently granted legal status to approximately 30,000 undocumented migrants to fill labor gaps in the tourism and agricultural sectors. Meanwhile, over 1.8 million jobs in Germany remain vacant, even after major policy relaxations to attract foreign workers.

3. Israel

Israel is planning to bring in about 70,000 foreign laborers from China and India to support the construction sector.

4. Portugal

Portugal is currently experiencing labor shortages across eight sectors, ranging from agriculture to renewable energy.

5. Ireland

Ireland is hiring up to 40,000 non-EU workers each year to address workforce shortages in hospitality and construction.

6. India

Ironically, India—despite having a demographic bonus—is also on this list, with a skilled labor gap of 81%. The main issue is a skills mismatch. A large population does not automatically translate into a work-ready labor force, particularly in manufacturing for both domestic and global markets.

7. France and Brazil

In France, labor shortages are hindering the country’s push toward developing a hydrogen sector by 2030. In Brazil, workforce deficits are most prominent in healthcare and IT.

8. Canada and the UK

Canada is using permanent immigration policies to attract workers in STEM and healthcare, in response to its aging population. Meanwhile, post-Brexit UK has introduced a points-based immigration system that ironically has opened doors to more non-EU workers, especially in the social sector and software engineering.

9. Singapore and Hong Kong

In Asia, Hong Kong has relaxed immigration rules to address labor shortages in the construction and aviation sectors. Singapore is finding it increasingly difficult to recruit professionals in tech, banking, and engineering. The government is proactively seeking foreign workers, particularly in the IT sector which is facing the most severe talent shortage.

10. Romania and Slovakia

Romania and Slovakia are facing similar labor challenges in Eastern Europe. With a stagnating young workforce and growing demand in automotive, logistics, and manufacturing, both countries are turning to India and South Asia to meet their labor needs and sustain production capacity.