Compared to US visas, it's a walk in the park.
>Streamlining this system and lowering the requirements for a skilled visa won’t hurt anybody
It will defiantly hurt the housing market because Germany doesn't build enough.
The population is getting older and they need more young people in order to support their standards of living and to care for the ageing population. So either they get more people and house them somehow, or they will have to accept that there won't be enough working people to support the country with their work. Another option, and I'm being sarcastic here, is to destroy the healthcare system like the Conservative government is doing in the UK and hope that eventually life expectancy will drop.
Germany is attractive for all those for whom a US visa is out of reach, a.k.a. almost everyone.
The immigration system in Germany is peculiarly hostile, getting visas is very hard, interacting with the local bureaucracy is a nightmare, there are so many catch-22 that either you pay an agency or… God knows how they do it. If you are not an EU citizen, it may take months to complete all the paperwork even to the perfect immigrant.
Streamlining this system and lowering the requirements for a skilled visa won’t hurt anybody, it would just make the lives of some people less miserable.
Consider that Germany has an almost endless reservoir of potential immigrants in southern Europe (and to some extent in Turkey), it has been there for the past decades and salaries keep going up.