Freedom of movement within the European single market and migration from non-EU countries present great opportunities for the labour market, especially in light of the growing shortage of skilled labour and labour generally. But they also present challenges, not least in terms of labour market integration and the social inclusion of refugees. Another major challenge for the German labour market is the transformation of the economy, driven by digitalisation, decarbonisation and demographic change. All of these trends are playing out very differently from region to region owing to the differences between urban and rural areas and in the way that companies, sectors and occupations are distributed across the regions. There are also significant variations within regions. In cities, in particular, success in the labour market and the opportunities for integration into the market for young people, women, migrants (especially refugees) and families with children hinge on the socio-economic structure of the local neighbourhood, the availability of housing and access to transport and other infrastructure.
In 2026, one of the topics this focus area will study is refugee preferences regarding choice of place to live. Innovative methods will be used to analyse small-scale regional factors that influence the integration of refugees into the labour market. This research will be based on the IAB’s own surveys, including the IAB-SOEP migration sample and the IAB-BAMF-SOEP survey of refugees. As many migrants to Germany subsequently leave the country, the IAB is also continuing its International Mobility Panel of Migrants in Germany (IMPa) in order to analyse the socio-demographic profile of emigrants, the factors that determine their decision to emigrate and the motivation driving repeated or circular migration.
Analysis of regional disparities at various levels will be continued in 2026, and forecasts made regarding regional labour market trends. In this context, georeferenced data will be used to research how the socio-economic composition of the neighbourhood and the accessibility of jobs affect the success of various groups in the labour market. As global trends such as environmental and digital transformation, export trade barriers, and the increased investment in defence capability affect the regions in different ways, the IAB will also analyse the reorganisation of the sector structure as well as the opportunities and risks of the pressure for change. Particular attention will be given to the quantitative evaluation of the effectiveness of labour market hubs. This will allow for a better understanding of favourable and detrimental factors that influence job-to-job transitions in regional labour markets. Furthermore, the potential for substitution by new technologies will be determined at regional level, and regional differences in quality of life will be identified.
Activities
- Publications on the topic: International and Regional Labour Markets
- Projects on the topic: International and Regional Labour Markets
Departments
- Research Department Establishments and Employment
- Research Department Education, Training, and Employment Over the Life Course
- Research Department Joblessness and Social Inclusion
- Research Department Migration and International Labour Studies
- Research Department Regional Labour Markets
- Regional Research Network
- Junior Research Group Occupations and Employment Trajectories
- Working Group Gender Studies
- Working Group Migration and Integration
