Urgent action needs to be taken to tackle Europe’s war for talent, according to a new report from the European Commission.

The report shows that:

• A third of Europeans of working age have few or no formal qualifications, making them 40% less likely to be employed than those with medium level qualifications
• The employment rate for highly-skilled employees across the EU as a whole is 84%, for medium skill levels 70%, and for low skill levels it stands at 49%
• Workers with low qualifications are also much less likely to upgrade their skills and follow lifelong learning
• Companies that train their staff are 2.5 times less likely to go out of business than those that do not
• Education systems that arm workers with adequate skills could increase GDP by as much as 10% in the long term

Vladimír Špidla, EC commissioner for employment, says: “Improving people’s skills will help us out of the crisis in the short term and prepare for sustainable economic success in the future.”

Maroš Šefcovic, commissioner for education, training, culture and youth, adds: “We need to break down the divisions between ‘education and training’ and ‘work’ so that people can make sure that their skills are suited to evolving labour market needs throughout their lives.”