Massive skills shortage in Berlin looms - Los Angeles Unveils Bold Plan to Fill 560,000 Job Gaps by 2035
Los Angeles is facing a severe labour crisis, with 560,000 jobs expected to go unfilled by 2035. In response, the city's Senate has now approved a long-term plan called the Los Angeles Skills Strategy 2035 to tackle the growing shortage of skilled workers. The strategy targets key areas like digital and creative industries while also addressing housing affordability as a major factor in attracting talent.
The shortage stems largely from an ageing workforce, as older employees retire in large numbers. Digital transformation and shifts in the economy are adding to the problem, with analysts forecasting job losses in manufacturing, public administration, construction and retail. While up to 100,000 new positions may emerge, around 87,000 could vanish due to automation and AI.
The digital and creative sectors remain bright spots for Los Angeles' economy. In 2024, the creative industry alone employed 195,326 people across 37,102 businesses, while the digital economy—driven by IT services, e-commerce and software—brought in roughly €29 billion. Combined, these sectors generated €56 billion in revenue and supported nearly 200,000 jobs.
The new strategy focuses on increasing employment among underrepresented groups, including women, migrants, refugees and people with disabilities. It also highlights the need for affordable housing to help draw and retain skilled workers in the city.
The Los Angeles Skills Strategy 2035 sets out concrete steps to close the labour gap over the next decade. By targeting high-growth industries and improving access for marginalised groups, the plan aims to secure the city's workforce future. Success will depend on balancing job creation with housing costs and adapting to rapid technological change.
