Cleverly compensating for staff shortages with artificial intelligence

In short: Digital processes and artificial intelligence (AI) relieve the burden on understaffed public offices, accelerate processes, and improve the quality of service for citizens.

Why staff shortages make digitalization a must

In the public sector alone, there will be a shortage of over 500,000 skilled workers in Germany by 2030 – and the trend is rising ^[3] . Employees in public services feel this every day: telephone lines are busy, counters close early, and waiting times of several months for appointments cause dissatisfaction. Digital transformation in public services offers municipalities three options:

• Automated application processing reduces typing effort by up to 80%.
• Self-service portals enable 24/7 applications without requiring staff.
• Multilingual service with AI transforms language barriers – simpler communication ensures easier work and greater understanding.

Online Access Act 2.0 – both duty and opportunity

The Online Access Act (OZG) obligated the federal government, states, and municipalities to offer all administrative services digitally by the end of 2022 ^[1] . However, the actual implementation is hampered by language barriers and limited resources. The OZG 2.0 reform has been driving end-to-end digitalization since July 2024 and, with the DeutschlandID is a central citizen account ^[2] . Municipalities that now act to digitize their processes benefit twice: They comply with the legal requirements and reduce operating costs in the long term.

Artificial intelligence can support existing processes and reduce the workload for employees. Let's look at an example process involving multilingual communication:

AI-supported processes: From appointment scheduling to document review

1. Intelligent appointment scheduling ensures multilingual appointment scheduling and the provision of information in the desired language.
2. Multilingual appointment preparation supports employees with translated documents, intelligently pre-filled forms and summaries from other conversations.
3. Speech recognition at the counter enables live transcription and translation, documents conversations in compliance with GDPR and provides the results in the target language.

All three steps can be meaningfully linked into an overall process, so that the citizens' service employees can provide holistic support.

Given the confidential nature of these conversations and the often sensitive data involved, data protection must of course be a top priority. These requirements pose significant challenges for the use of artificial intelligence in municipal services.

Data protection, GDPR & AI Act: How to keep citizen records secure

The EU AI Regulation (AI Act) has been in force since August 1, 2024. ^[5] High-risk systems, such as social benefit decisions, must demonstrate additional protocols and oversight bodies. Our recommendation:

• Deploy local or EU-hosted AI platforms with audit logs.
• Privacy by Design : Data minimization, encryption & role-rights models.
• Conduct an impact assessment in accordance with Art. 35 GDPR before productive rollout.

Top 3 checklists for the use of artificial intelligence in citizen services

• ✔ In which processes is optimization important and noticeable for employees and citizens?
  • Many processes can be improved. We recommend focusing on the most important ones that make a decisive difference in service.
• ✔ Metrics to be optimized defined (waiting time, throughput time, satisfaction)?
  • The use of artificial intelligence is not an end in itself; improvements must be objectively measurable and demonstrate their benefits.
• ✔ Type of data collected including data flows recorded and data protection impact assessment started?
  • Sensitive and personal data are particularly worthy of protection. When using artificial intelligence, traceability and data sovereignty must be ensured.

FAQ: Two frequently asked questions about digital transformation in citizen services

Conclusion

Staff shortages remain – but digital transformation in citizen services frees up your team for what matters most: direct citizen advice. With AI-supported processes, end-to-end digitization compliant with the OZG (OZG Act), and GDPR-compliant infrastructure, municipalities optimize their citizen services and reduce the burden on their own employees – paperless, efficient, and citizen-focused.

Further reading tips

• Digital processes work – combining efficiency and data protection with local AI
• Use secure, local EU AI solutions
• Application examples & use cases for digital processes

Sources

1. BMI – Online Access Act: Basics & Obligations
2. BMI press release on the reform of OZG 2.0
3. dbb Public Service Monitor 2025 – Staff shortages
4. Bitkom Study 2024 – Digital Administration & Citizen Satisfaction
5. EU Commission – AI Regulation enters into force (01.08.2024)
6. § 201 StGB – Violation of the confidentiality of speech