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Europe’s Next Labor Shortage Won’t Be Workers — It Will Be AI Skills

Research analyzing 31 million job postings finds AI skills are rapidly becoming a requirement for early-career roles, leaving employers scrambling to find qualified talent.

Featured InsightsbyFeatured Insights
March 18, 2026
in Workforce
Reading Time: 4 mins read
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Europe’s Next Labor Shortage Won’t Be Workers — It Will Be AI Skills

Data shows nearly 25% of entry-level roles in Europe now require AI skills, and that 74% of SME employers struggle to find qualified candidates.

There is no question that for many Europeans, work will look different in the coming years. We’ve seen this “ripple effect” with every major technology shift, from computers to the Internet. And while research suggests that far more jobs will be introduced rather than lost, we can’t ignore that there will be disruption – we must prepare for it.

At one end of the spectrum, we know that new technologies like AI have the potential to birth industries and create millions of jobs. Twenty years ago, the concept of a professional YouTube Creator didn’t exist: today, there are upwards of 60 million around the world.

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Across Europe, there are estimates that 61% of jobs will be augmented by generative AI – while up to 7% of jobs will make a long-term transition. Those roles, which will be augmented or transition, are the ones we must focus on, ensuring that AI expands, rather than automates, human potential.

In Europe, the stakes are too high to ignore. Broad AI adoption holds the potential to boost the region’s GDP by €1.2 trillion. That’s an 8% increase over the next decade. We’ve already seen promising AI stories emerging across the continent. Spanish startup Idoven is using AI to detect heart disease earlier, while Roly’s in the UK is reimagining fudge recipes and Maria Teresa Pellegrino has used AI to modernize marketing materials for her family’s 100 year old Italian olive oil businesses.

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But these gains won’t come automatically. To enable more Idovens, more Roly’s, more Maria’s, Europe’s public sector, non profits, employers and universities must come together to provide European people and businesses with the AI skills they need. 

Today we’re announcing AI Works for Europe: a series of commitments, research and training to support this effort.

AI’s potential impact on entry-level jobs is a major focus area. Over the past year, we supported European social enterprise INCO and nonprofit Chance to examine how AI is reshaping early careers and to develop tailored solutions for Europe’s future workforce. In addition to drawing from comprehensive employment datasets provided by the OECD and the European Commission, INCO used AI to analyse over 31 million job postings, and interviewed over 1,500 UK and EU employers and young jobseekers. They found that nearly 25% of entry-level roles now require AI skills, and that 74% of SME employers struggle to find qualified candidates. The demand is highest in certain fields: AI-related requirements for Accounting & Finance roles have tripled since 2023 and nearly half (41%) of digital marketing and content roles now require AI proficiency at entry level.

In response and with our support, INCO and Chance have created NewFutures:AI, a set of advanced AI curriculums for final-year students: helping them build practical skills and access career support, especially in the sectors that need it most. The curriculum will be offered directly to students for free through partnerships with fifty higher education institutions across Europe.

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But we can’t just focus on the future workforce – we need to to upskill current workers. 

Since 2015, we have trained over 21 million Europeans (including Brits) on digital or AI skills. These trainings work: our foundational course, Google AI Essentials, has become the most popular course on Coursera of all time, and 80% of certificate graduates in the EU report a positive career outcome within six months of completion: a new job, promotion or raise.

New research from IPSOS suggests that AI literacy —the ability to understand, evaluate, and make decisions about AI  — is vital to driving adoption. We need to move from a surface level understanding of AI to a more substantive use of AI as a collaborator. We’ve just released a new Google AI Professional Certificate focused on just that: moving people and businesses from AI foundations to fluency. The certificate is available now globally in English, and will be translated in ten European languages in the coming months.

Creating these resources alone isn’t enough, partnering with trusted community organizations is what’s going to help us drive broad and equitable access. That’s why we’re supporting local nonprofits like Talents for Tech and AI Sweden to share the certificate and wraparound resources with 50,000 workers across Europe through local trade unions and community organizations.

Significant change is coming. Together, across the public and private sector, we need to invest in people: ensuring they have the AI skills of tomorrow. Just as the internet unlocked new ways to work and build businesses, we need to empower people to innovate with AI. 

Written by Debbie Weinstein for Fortune as “From foundations to fluency: why upskilling is the key to Europe’s AI future” and republished with permission. Debbie Weinstein is President of Google in Europe, the Middle East and Africa.

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Featured Insights

Articles under Featured Insights are sourced from leading publications such as Fortune, offered through our collaboration with Reuters. Each piece is hand-selected to provide valuable perspectives and exceptional journalism to keep you informed on the trends shaping the future of work. If you would also like to be considered for syndication on Allwork.Space, please contact us.

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