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Labor shortage, Albania turns its eyes to Asia

2026-08-22 12:19:17Biznes SHKRUAR NGA REDAKSIA VOX

Labor shortage, Albania turns its eyes to Asia

The shortage of labor in tourism, construction and other sectors is forcing Balkan countries to recruit workers from Nepal, the Philippines, Vietnam and Indonesia, while Albania has signed new agreements with Vietnam and Indonesia.

For three decades, Balkan countries have been primarily exporters of labor to more developed economies.

Now, due to emigration, population decline, and growing demand for workers, countries in the region are increasingly turning to Asia to meet labor market needs.

According to an analysis by IntelliNews, Albania and Croatia are among the countries that are following this trend.

Albania has signed agreements with Vietnam and Indonesia within a few days for the recruitment of foreign workers, while negotiations with the Philippines are also ongoing.

The demand for foreign workers in Albania is mainly related to the tourism, hospitality, construction, manufacturing, agriculture and transport sectors. According to data cited in the analysis, Vietnam estimates that Albania needs about 20,000 to 30,000 foreign workers.

The agreement with Vietnam, signed on July 29, provides for equal treatment for employees in terms of wages, working conditions and social benefits.

Albanian employers will also have to cover the costs of recruiting and traveling employees before their departure to Albania.

A day later, a memorandum was signed with Indonesia, and the implementation of the agreement is intended to begin by the end of 2026.

Albania previously set a target of bringing in around 40,000 foreign workers, while currently their number is much lower, around 15,000. Around 12-15,000 work permits are issued each year, mainly for the construction, hotel and tourism sectors.

Meanwhile, Croatia represents a more advanced example of this transformation. The number of foreign workers in the country has increased significantly in recent years, with Nepalese workers becoming one of the largest groups of foreign workers.

In 2024, Croatia issued around 206,500 residence and work permits, of which around 75,000 were for the construction sector, 56,000 for tourism and hospitality, and around 28,500 for industry.

Workers from Nepal accounted for around 35,600 permits, approaching the traditionally largest group, that from Bosnia and Herzegovina.

The phenomenon is directly linked to the region's demographic crisis. Croatia has lost about a fifth of its population since independence, while the six Western Balkan countries have lost about 2.5 million people in two decades. More than one in five citizens of the region now lives abroad.

Albania is also facing the same problem. High emigration and a decline in the labor force are occurring at a time when the economy is demanding more workers, especially due to the development of tourism, construction, and infrastructure projects.

In Albania, employers report shortages of professionals such as bricklayers, electricians, plumbers, welders, and carpenters.

However, recruiting workers from Asia also brings new challenges. One of them is the risk of Albania being used as a transit country by workers who intend to then go to other European Union countries.

According to migration specialists cited in the analysis, some Asian workers arrive in Albania with regular work contracts, but leave after a few months.

Another challenge is related to integration and the protection of workers' rights. Croatia's experience shows that the rapid increase in the number of foreign workers must be accompanied by stronger controls on recruitment agencies, protection of labor rights, and integration policies.

Thus, as Balkan countries are trying to fill the gaps created by the emigration of their citizens, the region is gradually transforming from an exporter of labor to a destination for workers from Asia.

For Albania, the challenge is now not only to bring in foreign workers, but also to create the conditions for them to stay and integrate into the domestic market.


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