(de-news.net) – Although the effects of Artificial Intelligence (AI) on the labor market are still unknown, Germany believes it has the potential to boost economic growth and productivity. The SPD is putting forth policies to guaranty that workers profit from AI-driven advancements through training, workplace protections, increased taxation, and increased employee involvement, even as IT shortages continue.
If companies and employees are adequately prepared to use the technology, Germany’s Digital Minister Karsten Wildberger (CDU) expects AI to deliver substantial productivity gains and contribute to faster economic growth. The potential benefits, however, are accompanied by a period of adjustment in the labor market, particularly for occupational groups whose roles may be affected by automation or changing work processes. Wildberger acknowledged that some workers could come under pressure and enter transitional periods as AI becomes more widely adopted. In those circumstances, he argued, the state should not leave affected employees to manage the disruption alone. New policy mechanisms could provide support, with some of their financing potentially linked to the additional economic growth generated by AI.
Wildberger sees the scale of that potential in international economic performance. He pointed to China’s average annual growth of more than five percent over the past decade as an indication of what may be possible when technological development contributes to greater economic efficiency. If Germany succeeds in using AI effectively, he argued, it could achieve similarly strong growth rates. Corporate adoption of AI is therefore likely to become a decisive element of competitiveness in the coming years. Companies capable of operating more efficiently while developing and introducing new products more rapidly are expected to gain an advantage in international markets. Against that backdrop, Wildberger cautioned against excessively restrictive regulation, arguing that existing legislative approaches could constrain the technological and organizational flexibility needed for adaptation. He also sees greater flexibility in hiring and workforce restructuring as part of the adjustment required.
Germany’s labor market already illustrates the tension between technological change and shortages of specialized workers. Although the country’s shortage of IT professionals has fallen sharply in recent years, the gap remains substantial. Industry association Bitkom estimates that about 79,000 IT specialists are currently missing, compared with 149,000 in 2023. The reduction represents a significant improvement, but it has not eliminated recruitment difficulties for businesses. Some 78 percent of companies continue to report a shortage of qualified IT personnel, while only 14 percent consider the available supply sufficient. Another five percent report an oversupply.
Expectations for the coming years remain considerably less optimistic. Three-quarters of respondents, or 76 percent, anticipate that the shortage of IT specialists will become more severe. Another 15 percent expect the situation to remain broadly unchanged, while only eight percent foresee a decline in the shortage. The figures indicate that, despite the recent improvement, demand for specialized digital skills continues to outpace available supply for many companies.
AI itself has so far produced only a limited shift in the IT labor market. Among companies with open IT positions, 42 percent already use AI, while 36 percent intend to introduce the technology and another 13 percent are still considering whether to do so. Adoption remains fragmented rather than comprehensive. Of those already using AI, 43 percent employ it only occasionally, while 46 percent use it in selected areas. Just seven percent report applying the technology in nearly all relevant activities. A broad transformation of IT work has therefore yet to materialize, despite the growing attention surrounding AI.
At the same time, the technology could create additional demand for specialized expertise. Nearly half of the companies surveyed expect their need for IT professionals with AI knowledge to increase. Nineteen percent are certain that demand will rise, while another 30 percent consider such an increase likely. By contrast, 48 percent do not expect additional demand, with 17 percent ruling it out and 31 percent considering it unlikely. The divided expectations underscore the uncertainty surrounding AI’s employment effects, which remain closely tied to how quickly companies adopt the technology and how extensively they integrate it into their operations.
SPD proposes new social and workplace rules for AI
The SPD parliamentary group is seeking to address these labor-market implications through a broader policy framework that combines technological adoption with measures intended to distribute its benefits more widely. At its parliamentary retreat, the party plans to adopt proposals addressing both the future of work and the taxation of technology-related profits. A central objective is to ensure that employees have a greater share in the advantages created by AI rather than bearing the adjustment costs alone.
The SPD position paper calls for older workers to have a right to continuing education suited to the AI era. Such a right would include paid time off for training, counseling and income security, reflecting the expectation that workers may need to update their skills as technology changes workplace requirements. Younger entrants to the labor market would also receive greater protection from the disruptive effects of automation. The SPD argues that training opportunities, initial professional experience and workplace learning should not simply be displaced by algorithms.
Under the proposal, larger companies could be required to establish paid entry programs, create additional apprenticeship positions or provide comparable learning opportunities if AI adoption causes a substantial decline in qualified entry-level positions. Companies that failed to provide such opportunities would instead be required to contribute to an industry-specific fund. The approach is intended to address the risk that technological restructuring could reduce the traditional pathways through which younger workers acquire their first professional experience.
The SPD also favors higher taxation of large technology companies and changes to business tax rules that would allow local governments hosting data centers to benefit more directly from the economic activity associated with them. More broadly, the party argues that social-security financing will have to evolve if automation reduces the contribution of wage-based tax revenues. As machines assume more tasks, the existing financing structure could face pressure, making a broader range of income and value-creation sources relevant to the future funding of the social state.
Under the SPD’s approach, solidarity-based contributions would gradually be expanded to include workers as well as additional sources of income and value creation. These could include productivity gains generated through AI, a potential AI dividend and a greater role for capital income. At the same time, the proposal calls for smaller and medium-sized assets to be protected through generous allowances, reflecting an effort to broaden the financing base without placing the same burden on lower levels of wealth.
Other proposals focus on workplace participation and protections against the use of AI for algorithmic management. The SPD wants to strengthen works councils and their co-determination rights while adapting Germany’s system of workplace representation to the AI era. Public funding for new technologies would, under the proposal, be available only to companies able to demonstrate employee participation, conduct impact analyses and maintain structured dialogue with their workforces.
A publicly funded AI voucher is also proposed as a way of making adoption easier and less bureaucratic, particularly for small and medium-sized businesses. Such a mechanism would be intended to lower the barriers to entering AI use while supporting broader participation in technological change.
The SPD position paper places particular emphasis on sectors in which direct human interaction remains central, including kindergartens, schools, hospitals and care facilities. In these settings, the party argues, the use of AI should be subject to clearly defined boundaries. It also proposes stronger protections against workplace surveillance and algorithmic control, alongside updated employee data protections. Decisions involving recruitment, compensation, promotion and termination should remain the responsibility of human decision-makers rather than being delegated to automated systems.
Taken together, the SPD’s proposals frame AI as both an economic opportunity and a significant test of Germany’s labor and social policies. The party argues that technological progress can improve working conditions, but that the financial gains associated with higher productivity should be distributed broadly rather than concentrated among companies and investors. Matthias Miersch, leader of the SPD parliamentary group in the Bundestag, has presented the objective as combining technological advancement with stable employment and a more resilient social and economic model.
