Europe’s workforce crisis: Ignoring Roma is sabotaging competitiveness

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Europe is running out of workers — and fast. Former Italian Prime Minister Enrico Letta warns that aging populations, low birth rates and persistent labor shortages are putting Europe’s economic future at serious risk. According to former European Central Bank President Mario Draghi, nearly 2 million workers will vanish from the European labor market each year over the next 15 years. Even with migration, the influx isn’t enough to offset the decline — and neither Draghi nor Letta suggests that artificial intelligence alone will solve the problem.

Illustration: Risto Avramovski, photo: Akos Stiller
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Amid this crisis, the EU has overlooked a solution that’s right under its nose: the Roma. With around 6 million people — the size of Denmark or Finland — the Roma are Europe’s largest, youngest and fastest-growing minority. Adaptable, multilingual, resilient and entrepreneurial, the Roma bring precisely the kind of dynamism Europe needs to rejuvenate its workforce.

Locked-out potential

According to the World Bank, fully integrating Roma into the labor market could add billions to Europe’s GDP.

In Bulgaria and Romania alone, full inclusion of Roma could boost GDP by up to 4%, driven by higher employment, increased consumer spending and a broader tax base as Roma transition from informal to formal economies.

Illustration: Risto Avramovski, photo: Alamy Stock Photo

This economic potential is especially significant given the demographics of Roma communities. Nearly 40% of the Roma population in Romania are under 15 — compared with just 15% of the general population, underscoring the potential for a workforce that Europe desperately needs. In Hungary, the share of children under 15 among the Roma outnumbers non-Roma children by three or four to one. This rising generation could be a vital part of Europe’s workforce — if only they were given a fair chance.

In Bulgaria and Romania alone, full inclusion of Roma communities could boost GDP by up to 4%

Yet despite this potential, Roma youth face severe barriers to education and employment.

Systemic discrimination and lack of support push many into underfunded schools with minimal resources and unqualified teachers, severely limiting their opportunities. As a result, 56% of Roma youth are not in education, employment or training — a rate far higher than their peers across the EU and even globally. Within the EU, 80% of Roma are at risk of poverty. Even in Bulgaria, the EU’s poorest member state, Roma are three times more likely to live in poverty than the general population.

Illustration: Risto Avramovski, photo: Alamy Stock Photo

Systemic discrimination and lack of support push many into underfunded schools with minimal resources and unqualified teachers, severely limiting their opportunities.

A test for EU leadership

The immense demographic potential, along with barriers faced by the Roma, will be a true test of European Commission President Ursula von der Leyen’s pledge to revitalizing Europe’s workforce.

Consider Anca Gheorghe, a 23-year-old Roma woman from Romania. She attended a poorly resourced school with unqualified teachers and faced unfair discrimination, leaving her with limited opportunities. Left with virtually no other options, she joined an EU-funded vocational program to train as a hairdresser, hoping for financial independence. Yet, there are already enough hairdressers in her small town, leaving her without work in her field.

Gheorghe’s experience highlights broader issues. First, many EU training programs are not aligned with the realities of local job markets. Training alone isn’t enough if it doesn’t lead to real opportunities. Draghi recently underscored this, urging the European Commission to improve the efficiency and scalability of skills investments. He argued that Europe needs a “fundamentally new approach to skills,” ensuring all workers have a right to education and retraining, allowing them to move into new roles as their companies adopt technology or transition to good jobs in new sectors.

Second, there are fundamental weaknesses in Europe’s education systems, especially in underserved communities. Draghi’s report points to a general “undersupply of skills” in Europe, partly due to declines in education results. For Roma children, the problem is even worse. Schools near Roma communities often provide substandard education, and those attending better schools outside their neighborhoods frequently face discrimination. To bridge Europe’s skills gap, EU leaders must improve educational quality and address inequities that hold groups like the Roma back.

Besides investing in skills and education, the EU can build on the legacy of entrepreneurship within Roma communities.

Denied the same opportunities as others, the Roma have learned to create their own livelihoods — generation after generation. This entrepreneurial spirit is an asset Europe can’t afford to ignore. Tailored support, such as social impact loan schemes, business incubators and mentorship networks, could empower Roma entrepreneurs to overcome barriers and create jobs within their own communities.

Illustration: Risto Avramovski, photo: Dmytro Muntyan

Denied the same opportunities as others, the Roma have learned to create their own livelihoods — generation after generation.

Economic returns of Roma integration far outweigh the costs

Some may argue that integrating the Roma requires significant investment, but the economic returns — from higher GDP to a more resilient labor market — far outweigh the costs. Europe cannot afford to waste the talents of its fastest-growing population, especially as it faces a shrinking workforce and an urgent need for dynamism. Investing in Roma inclusion is about fairness — but it’s also a strategic necessity for Europe’s economic resilience.

Delivering on von der Leyen’s pledge to address Europe’s workforce crisis will require, as Draghi suggests, an approach that recognizes productivity growth cannot be achieved without social inclusion. Imagine a Europe where 6 million Roma are empowered to contribute, where our workforce is stronger, and where equality, self-reliance and solidarity are not just proclaimed values but lived realities. The clock is ticking; Europe can no longer afford to exclude the Roma.

Zeljko Jovanovic is the president of the Roma Foundation for Europe, which builds upon the strength and talent of the Roma for a new and better Europe that can live up to its values of prosperity and equality.

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