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The "war" for talent, how Albanian companies are motivating employees

2025-04-12 08:24:00, Sociale CNA

In recent years, Albania has faced a new and difficult reality: a labor shortage. A combination of factors, from the massive emigration of young people to EU countries, to the increasing availability of online employment opportunities, is creating a significant gap in the labor market.

Companies, which once had the opportunity to choose from a large pool of qualified candidates, are now facing difficulties in finding and retaining quality staff.

In this context, forms of staff motivation and engagement have become a priority for companies aiming to maintain stability and productivity. If previously, competitive pay was the main factor that kept employees connected to a company, today, their needs and expectations have changed.

They demand not only higher salaries, but also a better work environment, professional development opportunities, flexibility, and a corporate culture that values ??and supports them.

But how prepared are Albanian businesses to face this new reality? What strategies are they using to prevent the talent exodus and create an environment where people want to stay and contribute?

A growing challenge

According to INSTAT data and various economic analyses, the labor market in Albania is facing a major labor shortage. Businesses in key sectors such as trade, construction, technology, and services report great difficulties in finding and retaining qualified employees.

The main reason remains emigration. Every year, thousands of young Albanians leave for EU countries in search of better working and living conditions. The demographic transition in Albania has been taking place for more than three decades, with departures from the country outnumbering returns.

The emigration of young people has created a gap in the country's workforce and is becoming an obstacle to the development of some sectors such as agriculture and tourism. The latest results of the 2023 Census showed that the country's population shrank by about 14.8% between 2011 and 2023, dropping to 2.4 million, while the average age during this period increased by 7.5 years.

Online employment platforms like Upwork, Fiverr, and Toptal are enabling Albanian professionals to work for international companies without having to leave the country.

This has created a huge gap in the domestic market, making it more difficult for Albanian companies to retain their most skilled staff. Regional competition is also an important factor./ Monitor.al