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Forty-three percent of the German companies surveyed reported that they have had to turn down contracts or put off or cancel investments due to a shortage of skilled labor, according to a study conducted by the Munich-based ifo Institute for Economic Research. The report was commissioned exclusively for the weekly German business publication Wirtschaftswoche.

About 7 percent of the enterprises said they may relocate abroad in order to find a larger qualified labor pool.

Many of the companies had taken competitive action to create a more desirable work environment for the relatively few qualified workers on the market. One fifth reported offering "considerably higher salaries," while 42 percent had worked on their reputations as family-friendly employers.

Even more -- 69 percent -- said they had increased internal training opportunities. Investment in the future of the labor market is also strong, with 69 percent reportedly offering support to schools and 49 percent to colleges.

Qualified labor shortage a blow to national economy

The lack of skilled workers, particularly in engineering and technical fields, is an ongoing problem in Germany that is compounded by the declining birth rate.

According to a study by the German Economic Institute released in October, the shortage costs the economy 18.5 billion euros ($26.4 billion) a year -- a loss equivalent to 0.8 percent of the GDP.

On Nov. 1, Germany implemented a measure allowing companies to hire electrical and mechanical engineers from the eastern European countries that had joined the EU in 2004 without giving priority to German applicants.

Concerns have been raised, however, that the move, intended to ease the skilled labor shortage in Germany, could lead to a "brain drain" in the ten new bloc members.