Blue-collar labor shortages
A lot of data seems to suggest that labor markets in first-world countries are experiencing a significant shift as it becomes more challenging to find blue-collar workers compared to white-collar workers.
This reversal marks a departure from the decades-long trend, with a growing blue-collar labor shortage. This scarcity is attributed to various factors, including demographic, educational, and economic trends. Sectors such as production, manufacturing, and transportation are particularly affected, facing the tightest labor market conditions.
In some countries, companies seeking to attract blue-collar workers may need to consider substantial wage increases and possibly suffer diminished profits. However, for blue-collar workers, things are looking promising. They now have more options for job choices, are much more likely to achieve job satisfaction, and experience quick career development.
Countries with blue-collar labor shortages
While blue-collar labor shortages are felt to a certain extent in most first-world countries, some countries are affected more than others.
United States
The US is experiencing a shortage of blue-collar workers for several reasons, including an aging workforce, declining interest in manual labor jobs, and increased demand for skilled workers. Industries like manufacturing, construction, and transportation are struggling the most to fill essential positions. For example, the US construction sector was offering 25,000 new jobs in January of 2023 — but according to the Associated General Contractors Association of America (AGC), a shocking 80% of construction companies can not find enough qualified workers.
How to move to the US if you are a blue-collar worker
Despite the current labor shortages in the United States, obtaining a work permit as a foreigner is still relatively complicated.
The first thing you should do when considering moving to the US for work is to check if you are eligible for a work visa. You can do this on the US government website or consult with the US embassy or consulate in your country for the most accurate information. If you are determined to work in the US, it is more efficient to talk to a visa consultant, as the labor laws in the US can be complicated.
If you have set your sights on working in the United States, make sure to look for job opportunities in the United States that match your skills and qualifications. You may use online job portals, employment agencies, or direct applications to US employers.
In most cases, your potential employer in the US will need to obtain a labor certification from the US Department of Labor. This certification verifies that there are no qualified US workers available for the job position.
Once the labor certification is approved, your employer can sponsor you for a work visa, such as the H-2B visa for temporary non-agricultural workers or the EB-3 visa for certain skilled workers. Your employer will submit the work visa application to the US Citizenship and Immigration Services (USCIS) or the US Department of State, depending on the type of visa.
Germany
With an aging population and a declining number of young individuals opting for vocational training, Germany is facing a blue-collar labor shortage. The country's manufacturing and skilled trades sectors are particularly affected, leading to concerns about future industrial competitiveness.
How to move to Germany as a blue-collar worker
Before making any moves, research the demand for blue-collar workers in Germany. Some industries, like construction, manufacturing, and healthcare, may have more opportunities.
German language skills are essential for most blue-collar jobs, as they often require communication with colleagues and customers. Consider taking language courses before moving to Germany to improve your chances of finding employment.
You will need a work visa to legally work in Germany. The type of visa you'll apply for depends on your country of origin and the nature of your job. Contact the German embassy or consulate in your country to inquire about the specific visa requirements and application process.
Once you find a job, the employer must provide you with a formal employment contract outlining your job responsibilities, salary, working hours, and other important terms.
Note that health insurance is mandatory in Germany. So, you will need to make sure that you have proper health coverage either through your employer or by purchasing private health insurance.
Upon arrival in Germany, you must register your address at the local Resident Registration Office (Einwohnermeldeamt). This is usually required within a week of moving.
The good news is that to address the skilled labor shortage, the German Parliament has recently approved a novel immigration bill. This legislation aims to establish and enhance immigration channels specifically tailored for skilled workers coming from non-EU nations. Some of the key changes include a points-based “Opportunity Card” that offers a one-year (renewable) residence permit for those seeking employment, relaxation of rules for applicants with vocational experience (Germany has reduced the strict requirements for German language proficiency and simplified the recognition of educational qualification), and foreign nationals can now undertake any profession for which they are qualified (as opposed to being required to only apply for roiled that match their formal education experience). The bill's regulations are expected to come into force by March 2024.
Japan
Japan is grappling with a shrinking workforce, exacerbated by an aging population and a declining birth rate. The shortage of blue-collar workers in industries like construction, agriculture, and manufacturing is posing significant challenges to the country's economic growth and sustainability.
How to move to Japan as a blue-collar worker
Japan has a list of industries facing labor shortages open to hiring foreign workers. These industries often include construction, agriculture, manufacturing and caregiving. Look for Japanese companies that are willing to sponsor foreign workers in designated industries. This can be done through online job portals, recruitment agencies, or reaching out to companies directly.
If you secure a job offer from a Japanese employer, they will need to sponsor you for a work visa. The appropriate visa category for blue-collar workers is usually the "Specified Skilled Worker" visa (特定技能) or "Technical Intern Training" visa (技能実習), depending on the specific industry and your skill level.
Each visa category has specific eligibility requirements and conditions. For instance, the "Specified Skilled Worker" visa requires passing a skills exam and a Japanese language test. The "Technical Intern Training" visa may require you to undergo a training program in your home country first.
Proficiency in the Japanese language is often required, especially for blue-collar positions that involve direct interaction with local workers or clients. Learning at least basic Japanese can significantly improve your job prospects.
Moving to Japan can be expensive, so ensure you have enough savings to cover initial expenses, including travel, accommodation, and living costs.
The good news is that Japan's Cabinet has recently approved a plan to expand the blue-collar skilled worker visa to include 11 industries, up from the current two. The new additions include automobile repair and maintenance, aviation, accommodation, agriculture and food services, etc.
The government will conduct language and skill examinations for applicants in these new sectors starting this fall after seeking public opinion. This move represents a major change in Japan's immigration policy, offering a pathway to permanent residency for skilled foreigners in the newly added industries.
United Kingdom
The UK is experiencing a shortage of skilled blue-collar workers, attributed in part to changes in immigration policies. Industries like construction, hospitality, and logistics are struggling to find skilled labor, impacting infrastructure development and service sectors.
How to move to the UK as a blue-collar worker
If you are interested in working in the UK, the first thing to do would be to check the shortage occupation list to check if your profession is on it — this can substantially facilitate the visa process.
Look for job openings in the UK that match your skill set. You can search online job portals, recruitment agencies or directly apply to UK-based companies.
Once you have secured a job offer, your employer might sponsor you for a Tier 2 (General) visa. They will need to provide a Certificate of Sponsorship (CoS) to initiate the process.
You will then need to prove your English language proficiency by taking an approved English language test if required for your visa application. You will also need to ensure you meet the financial requirements for the visa, including the maintenance of funds needed to support yourself in the UK.
When you are ready, complete and submit your visa application, including all required documents, to the UK Visas and Immigration (UKVI). If your visa application is successful, you will receive a vignette sticker in your passport, allowing you to travel to the UK. Within 10 days of arrival, you must collect your Biometric Residence Permit (BRP) from a designated Post Office.
Canada
Canada's blue-collar labor shortage is driven by a combination of factors, including an aging workforce and a shift toward service-oriented careers. Industries like construction, mining, and agriculture are facing challenges in recruiting and retaining skilled workers.
How to move to Canada as a blue-collar worker
To start, check if you are eligible to work in Canada as a blue-collar worker on the official government website or by consulting with an immigration lawyer for the most accurate information.
You will then need to look for job opportunities in Canada that match your skills and qualifications. You may use Canadian job portals, employment agencies, or direct applications to Canadian companies. In most cases, your potential employer needs to apply for an LMIA (Labor Market Impact Assessment) to hire a foreign worker. This process assesses whether hiring a foreign worker will have a negative impact on the Canadian job market. Once your employer obtains a positive LMIA, you can apply for a work permit. Submit the necessary documents, including the job offer, LMIA approval, and other supporting papers.
Depending on the job and location, you might need to demonstrate proficiency in either English or French. Take an approved language test if required. Plus, depending on your country of citizenship, you might need a TRV or eTA to enter Canada. Check the requirements on the official government website.
Under certain circumstances, you may need to undergo a medical examination to meet health requirements for the work permit. Complete and submit your work permit application to the Immigration, Refugees, and Citizenship Canada (IRCC) office or through an online portal.
Australia
Australia is witnessing a shortage of blue-collar workers due to a shift in workforce preferences towards white-collar professions. The country's manufacturing, mining, and agriculture sectors are experiencing labor gaps, affecting their capacity to meet market demands.
How to move to Australia as a blue-collar worker
First, you will need to determine if you are eligible to work in Australia. Check the official Australian government website or consult with an immigration agent for the most accurate information.
Next, verify if your occupation is on the Skilled Occupation List (SOL) or the Regional Occupation List (ROL). Having a skill on these lists can increase your chances of securing a visa. Look for job opportunities in Australia that match your skills and qualifications. You can use Australian job portals, recruitment agencies, or direct applications to employers.
Depending on your qualifications and occupation, you may be eligible for skilled visas like the Subclass 189 (Skilled Independent visa) or the Subclass 491 (Skilled Work Regional (Provisional) visa). These visas require specific points and eligibility criteria. If your occupation requires a skills assessment, obtain a positive assessment from the relevant assessing authority in Australia.
You will need to prove your English language proficiency by taking an approved English language test like IELTS if required for your visa application.
Once you have your bases covered, you can lodge an Expression of Interest through the SkillSelect online system. This is a way to express your interest in applying for a skilled visa. If you have a competitive score and meet the criteria, you may receive an invitation to apply for a skilled visa.
Once you receive an invitation, submit a complete visa application with all the necessary documents and pay the required fees. Note that you may need to undergo health and character checks as part of the visa application process.
South Korea
South Korea is also grappling with an aging population and a lack of interest in traditional blue-collar jobs among younger generations. This labor shortage is most evident in industries like manufacturing, shipbuilding, and engineering, posing concerns for industrial growth.
How to move to South Korea as a blue-collar worker
Start by determining if you are eligible to work in South Korea as a blue-collar worker. Check the official South Korean government website or consult with the South Korean embassy or consulate in your country for the most accurate information.
If you are eligible to work in South Korea, you can start looking for job opportunities in South Korea that match your skills and qualifications. Once you secure a job offer, your employer in South Korea will need to provide an official employment offer and a written contract outlining the terms and conditions of your employment.
As a blue-collar worker, you will likely need an E-9 visa, which is specifically for non-professional work in South Korea. Your employer will need to apply for a Certificate of Confirmation for Employment (CCE) from the Ministry of Employment and Labor.
After your employer obtains the CCE, you can apply for the E-9 visa at the South Korean embassy or consulate in your home country. Submit all necessary documents, including the job offer, employment contract, and health check results.
The good news is that in June of 2023, the South Korean government announced an ambitious goal to issue a record number of visas for foreign skilled workers. The annual quota is set to increase fifteenfold, reaching an impressive 30,000 visas (from 2,000). The primary aim of this move is to assist companies in overcoming the pressing challenge of staffing shortages.
Singapore
Singapore is facing a shortage of skilled blue-collar workers in the construction, logistics, and manufacturing sectors. The demand for skilled labor outstrips the local supply, leading to a reliance on foreign workers, which presents challenges and policy implications.
How to move to Singapore as a blue-collar worker
First, make sure you are eligible to work in Singapore as a blue-collar worker. Check the official Singaporean government website or consult with the Singaporean embassy or consulate in your country for the most accurate information. If you are eligible to work in Singapore, you can then start looking for job opportunities in Singapore that match your skills and qualifications.
Once you secure a job offer, your employer in Singapore will need to apply for a Work Permit on your behalf. The Work Permit is specific to blue-collar workers in various sectors. Your employer will need to demonstrate that they have a genuine need to hire a foreign worker and adhere to the Work Permit quota set by the government.
Your work permit sponsor will then need to submit the Work Permit application to the Ministry of Manpower (MOM). You may need to provide additional documents, such as medical examination results.
Hong Kong
Following the COVID-19 pandemic, Hong Kong has been struggling to fill positions in construction, transport, hospitality — and other industries. Hong Kong has announced plans to address job shortages by hiring 20,000 workers. In a unique approach, the construction sector will be permitted to recruit a maximum of 12,000 workers from mainland China, while the airport will receive a quota of 6,300 workers to fill essential roles, including cleaners and front-line positions. Additionally, up to 1,700 minibuses and bus drivers from outside Hong Kong will be allowed on the city's roads.
While these specific labor shortages are aimed to be fixed by recruiting workers from the mainland, there are still spots available for skilled blue-collar workers from other countries.
How to move to Hong Kong as a blue-collar worker
The first place to start is the Hong Kong immigration website, where you can check for specific programs and visa requirements that may apply to your situation.
If you find work visa programs that match your situation, start looking for job opportunities in Hong Kong that match your skills and qualifications: you may have better results scanning local job portals such as JobsDB Hong Kong, contacting recruiters on LinkedIn, and using the local chat app - WeChat.
Once you secure a job offer, your employer in Hong Kong will need to sponsor you for a work visa. The specific visa type will depend on the nature of your job and the industry you will be working in. This is why it is best to search for employment in industries that are experiencing labor shortages. Your employer will submit the work visa application to the Hong Kong Immigration Department on your behalf. You may need to provide additional documents, such as your passport and a copy of your employment contract.
Malaysia
Malaysia is facing blue-collar labor shortages in key industries. Construction and infrastructure projects require skilled workers like welders and carpenters, causing delays and increased costs. The agricultural sector, including palm oil and rubber, is struggling to find workers for physically demanding tasks. The manufacturing industry faces unfilled positions for machine operators and technicians. Even the services and hospitality sectors experience shortages in hotels and restaurants.
How to move to Malaysia as a blue-collar worker
Begin by researching the industries and job opportunities in Malaysia that match your skill set. Check if your profession is in demand or listed on the government's approved job list for foreign workers.
Next, secure a job offer from a Malaysian employer. This is crucial as you will need an employer to sponsor your work visa. Once you have a job offer, your employer will apply for a work visa on your behalf. The most common work visa for blue-collar workers is the "Employment Pass (Category III)." Your employer will handle the necessary paperwork and requirements.
You may be required to undergo a medical examination to ensure you are fit to work in Malaysia. Employers often arrange this for their foreign workers. Obtaining health insurance coverage is also essential.
Once everything is settled, review and sign an employment contract with your Malaysian employer. Ensure that it covers your salary, benefits, working conditions, and duration of employment. Upon approval, you will receive your work permit and visa. Make sure to adhere to the specified dates and conditions mentioned in your visa.
Saudi Arabia
Saudi Arabia is facing significant blue-collar worker shortages in various sectors. The construction and infrastructure industries require skilled workers like electricians and welders, while the manufacturing and logistics sectors seek qualified technicians and assembly line workers.
Additionally, there is a shortage of domestic and service workers, such as housemaids and caregivers.
How to move to Saudi Arabia as a blue-collar worker
The first step is to secure a job offer from a Saudi Arabian employer. You need to be sponsored by an employer to obtain a work visa and legally work in the country.
Once you have a job offer, your employer will apply for a work visa (also known as an employment visa) on your behalf through the Saudi Arabian government's online visa portal.
As part of the visa application process, you may need to undergo a medical examination to ensure you are fit to work in Saudi Arabia. This requirement aims to protect the health and safety of the workforce and residents.
Sign an employment contract with your Saudi Arabian employer, ensuring that it includes details about your job role, salary, benefits, working hours, and other relevant terms and conditions. Once your work visa is approved, you will receive an entry visa that allows you to travel to Saudi Arabia. Upon arrival, your employer will facilitate the process to convert the entry visa into a residency permit (Iqama), which is mandatory for all foreign workers in Saudi Arabia. The Iqama serves as your official identification and allows you to reside and work in the country legally.
In summary
The current shortage of blue-collar labor is a result of various factors in the global economy. Demographic, educational, and economic trends have converged to shape this situation. With an increasing emphasis on education, the working-age population with a bachelor's degree has expanded, while those without formal education have decreased.
Moreover, the retirement of the Baby Boom generation, who previously occupied many blue-collar jobs, has contributed to the scarcity of workers in these sectors.
Despite the shrinking pool of blue-collar workers, the demand for their services has continued to grow. This combination of factors has led to the growing blue-collar labor shortages observed in the global job market.
Countries are employing different approaches to address the shortage: from increasing blue-collar wages to adjusting their immigration policies. For blue-collar workers, this translates into a stable employment environment and exciting relocation opportunities.
