The Eurozone workforce has grown by more than 7.8 million people since the end of 2019, reaching around 173 million workers by mid-2025. Economists say much of that growth has come not from younger generations entering the workforce, but from older employees remaining in work longer and increasing levels of migration.

ECB researchers found that foreign workers added approximately 4.2 million people to the labour market over the past four years, increasing their share of the Eurozone workforce from 8% to 10%.

The study suggests many migrants have helped fill shortages in sectors struggling to recruit staff, including construction, technology, and other industries facing labour gaps. Researchers also noted that participation rates among non-EU citizens have continued to rise, in some cases surpassing those of Eurozone nationals.

At the same time, Europe’s ageing population continues to present long-term economic challenges. While older workers are remaining employed for longer, researchers warn that declining birth rates could eventually reduce the number of younger people entering the labour market.

The report concludes that immigration, alongside technological advances such as artificial intelligence, may become increasingly important if Europe hopes to maintain workforce levels and economic growth in the coming decades.