Greece faces skills mismatch as 19% of young university graduates struggle with functional literacy
Greece is facing a significant mismatch between the expansion of higher education and the skills required by the labor market, with a study finding that 19% of university graduates aged 25 to 34 are not considered functionally literate.
The findings highlight concerns over whether the country’s growing number of university graduates is translating into the skills and employment opportunities needed by the economy.
According to research published by Moneyreview, 55.7% of young people in Greece participate in higher education, well above the European Union average of 33.1%.
The number of postgraduate students has also increased dramatically, rising more than eightfold between 2001 and 2023.
19% of graduates face functional literacy difficulties
OECD data from the Programme for the International Assessment of Adult Competencies (PIAAC) points to a particularly striking skills gap.
Around 19% of young university graduates in Greece experience difficulties in functional literacy, suggesting that holding a university degree does not necessarily guarantee adequate basic skills for everyday life and employment.
The findings have raised broader questions about the effectiveness of the country’s education system and the relationship between academic qualifications and practical skills.
University graduates increasingly work in lower-skilled jobs
Another major issue highlighted by the research is over-qualification.
Between 2008 and 2025, Greece was among the EU-27 countries with the highest shares of highly educated people working in low- or medium-skilled occupations. In 2025, the country ranked second among EU member states on this measure.
The trend suggests that the growth in the number of university graduates has not been matched by a comparable expansion of high-skilled employment opportunities.
Academic staff numbers decline
The study also points to a decline in university teaching staff despite the substantial increase in postgraduate and doctoral education.
The number of academic staff fell by 12.5% between 2001 and 2023, with a significant part of the decline linked to budget cuts during Greece’s economic crisis.
The findings underline a broader challenge for Greece: expanding access to higher education alone may not be sufficient. Strengthening the connection between universities, skills development and the labor market will also be crucial to ensuring that graduates are equipped for employment and that their qualifications translate into appropriate career opportunities.
