Better integrating underrepresented teams – akin to ladies, older individuals, migrants and individuals with disabilities – into the job market might help to mitigate abilities and labour shortages and offset the demographic adjustments that danger shrinking the EU’s workforce by as much as 18 million by 2050.
The 2025 Employment and Social Developments in Europe (ESDE) report highlights that one-fifth of the working-age inhabitants, round 51 million individuals, are at the moment outdoors the EU labour market, with ladies, individuals aged 55–64, migrants, and individuals with disabilities making up the overwhelming majority. Facilitating entry to the labour market would additionally contribute to reaching the EU’s 78% employment fee goal for 2030. At the identical time, it could enhance social cohesion and help the EU’s 2030 poverty-reduction goal.
Key findings
In 2024, the EU created 1.8 million extra jobs in comparison with the earlier 12 months, bringing the employment fee as much as 75.8%, whereas the unemployment fee fell to a brand new historic low of 5.9%.
Women: breaking limitations to spice up equality and progress
- Women’s labour participation within the EU stays 10 proportion factors under males’s, with 32 million ladies outdoors the workforce, primarily as a result of unpaid care obligations, restricted availability of childcare, and disincentives in tax-benefit programs. Around 75% of moms of younger kids outdoors the labour power level to care duties as the principle motive, in comparison with simply 13% of fathers.
- Expanding childcare might elevate ladies’s employment fee in some Member States by as much as 30% and increase EU GDP by as much as 1.7%
People aged 55 and over: enabling longer and more healthy working lives
- Despite progress, practically 20 million individuals aged 55–64 should not a part of the EU’s labour market, typically as a result of retirement guidelines, well being points, or inadequate flexibility at work
- Pension reforms, phased retirement, expanded long-term care, coaching and profession steerage might help maintain extra older employees lively
Migrants: recognising abilities to drive integration
- Over seven million migrants within the EU are at the moment out of the workforce for a number of causes, together with language difficulties, non-recognition of {qualifications}, discrimination, and administrative hurdles. Migrants face the very best danger of poverty of any workforce demographic (38%). Yet, they convey important abilities that may assist deal with labour shortages in sectors with acute wants.
- Well-designed tax incentives, together with job search help, language coaching and easier work permits, particularly when mixed, can enhance migrants’ participation within the labour power
Persons with disabilities: overcoming stereotypes and accessibility challenges
- Of the 44 million working-age individuals with disabilities, 56,4% labored in 2024 -from 55,6 in 2022- in comparison with 84% of individuals with out disabilities. The report finds that quota schemes, anti-discrimination measures and focused job placement are efficient instruments for his or her integration.
- Quota schemes, anti-discrimination measures and focused job placement are efficient instruments for his or her integration. The EU Strategy for the Rights of Persons with Disabilities 2021–2030 is selling inclusive work environments, whereas the Union of Skills can help inclusive abilities pathways to assist faucet the potential of individuals with disabilities.
Background
The Employment and Social Developments in Europe is the Commission’s flagship annual report on employment and social affairs. To make the labour market extra inclusive and sort out labour shortages, the Commission is pursuing a variety of initiatives. These embody the 2023 Council Recommendation on ample minimal revenue, the 2024 EU Action Plan on labour and abilities shortages, the 2023 Communication on Harnessing Talent in Europe’s Regions and the upcoming initiative to make sure truthful, clear, and efficient labour mobility. The upcoming Action Plan for the European Pillar of Social Rights and the Quality Jobs Roadmap will strengthen these efforts and contribute to EU competitiveness.
View report
- General publications
- 15 September 2025
Employment and social developments in Europe 2025
Addressing labour shortages and bolstering the sustainability of labour provide within the EU require elevated labour power participation alongside combating unemployment and underemployment. This report analyses the 51 million EU residents (aged 20-64) outdoors the workforce: ladies, older individuals and migrants as the first teams.
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