HIRING OUTLOOKS IMPROVE, TALENT SHORTAGES ESCALATE
Prague, 14 September 2021 – Employers in the Czech Republic anticipate the strongest hiring pace in two years during the October to December period, reporting a seasonally adjusted Net Employment Outlook of +10%. Hiring intentions strengthen by 5 and 9 percentage points from 3Q 2021 and 4Q 2020, respectively.
“At the end of this year, recruitment levels in most sectors are expected to reach those in 2018. However, due to the pandemic the labour market froze as people have been unwilling to change employment and face uncertainty. This is the case mainly for unskilled workers in manufacturing and logistics. To find higher numbers of warehouse workers or blue-collar workers is as difficult as finding software developers. Recruiting people with technical qualification on all levels from tradesmen to mechanical and IT engineers remains a conundrum. It is also extremely difficult for employers to attract people back to work in food industry, hospitality, and personal services. For most, former employees managed to find work in other sectors and are not willing to go back to the industries that were locked down as they fear new waves of pandemics”, said Jaroslava Rezlerová, Managing Director of ManpowerGroup Czech Republic.
Industry sector comparisons
Payrolls are expected to grow in all seven Czech industry sectors during the fourth quarter of 2021. Hiring sentiment strengthens in all seven sectors when compared with the previous quarter and also improves in all seven sectors when compared with this time last year.
The strongest hiring pace is anticipated for the Manufacturing sector, where the Outlook of +21% reflects healthy hiring plans. Hiring prospects improve by 5 and 17 percentage points from 3Q 2021 and 4Q 2020, respectively.
In the Czech Restaurants & Hotels sector, employers anticipate the strongest labor market since the survey began in 2008, reporting an upbeat Outlook of +18%. Hiring plans in the sector improve by 16 percentage points quarter-over-quarter and by 13 percentage points year-over-year. Construction sector employers also report an Outlook of +18%, increasing by 4 percentage points when compared with the previous quarter and by 15 percentage points in comparison with the final quarter of 2020. The weakest sector Outlook of +2% is reported in the Other Production sector, improving by 3 percentage points in comparison with both the prior quarter and last year at this time.
Employers in all three Czech regions anticipate an increase in staffing levels during the forthcoming quarter, with Outlooks strengthening in two regions quarter-over-quarter and improving in all three when compared with this time one year ago.
The strongest regional labor market is expected in Prague, where the Outlook of +16% is the strongest in more than two years, increasing by 8 and 19 percentage points from 3Q 2021 and 4Q 2020, respectively. Bohemia employers report the weakest of the three regional forecasts, standing at +6%. Hiring plans for the region are unchanged quarter-over-quarter and remain relatively stable year-over-year.
Organization Size Comparisons
In all four organization size categories, job gains are forecast for 4Q 2021. Large employers (+22%) anticipate the strongest hiring pace, while Micro employers (+3%) are the most cautious.
An increase in payrolls is expected by employers in 41 of the 43 countries and territories surveyed by ManpowerGroup for the coming quarter, while employers in two anticipate a reduction in staffing levels. When compared with the previous quarter, employers report stronger hiring prospects in 31 of the 43 countries and territories, while hiring sentiment weakens in 10 countries and territories and is unchanged in two. In a comparison with the fourth quarter of 2020 – when the COVID-19 pandemic was in full swing across much of the globe – employers in all 43 countries and territories anticipate stronger labor markets. The strongest hiring intentions for the October to December time frame are reported in the United States, India, Canada, the Netherlands, Mexico and France. Meanwhile, employers in Panama, South Africa, Singapore, Croatia and Argentina anticipate the weakest hiring activity in the coming quarter.
The next ManpowerGroup Employment Outlook Survey featuring the forecast for the 1Q 2022 period will be published on 14 December 2021.
About the Survey
The global leader in innovative workforce solutions, ManpowerGroup releases the ManpowerGroup Employment Outlook Survey quarterly to measure employers’ intentions to increase or decrease the number of employees in their workforce during the next quarter. It is the longest running, most extensive, forward-looking employment survey in the world, polling over 59,000 employers in 44 countries and territories. The survey serves as a bellwether of labor market trends and activities and is regularly used to inform the Bank of England’s Inflation Reports, as well as a regular data source for the European Commission, informing its EU Employment Situation and Social Outlook report the Monthly Monitor. ManpowerGroup’s independent survey data is also sourced by financial analysts and economists around the world to help determine where labor markets are headed.
ManpowerGroup® (NYSE: MAN), the leading global workforce solutions company, helps organizations transform in a fast-changing world of work by sourcing, assessing, developing and managing the talent that enables them to win. We develop innovative solutions for hundreds of thousands of organizations every year, providing them with skilled talent while finding meaningful, sustainable employment for millions of people across a wide range of industries and skills. Our expert family of brands – Manpower®, Experis®, Right Management® and ManpowerGroup® Solutions – creates substantially more value for candidates and clients across 80 countries and territories and has done so for 70 years. In 2019, ManpowerGroup was named one of Fortune’s Most Admired Companies for the seventeenth year and one of the World’s Most Ethical Companies for the ninth year in 2018, confirming our position as the most trusted and admired brand in the industry. See how ManpowerGroup is powering the future of work: www.manpowergroup.com.
About ManpowerGroup Czech Republic
Through a network of over 35 offices, we provide staff (nearly 12,000) for approximately 1,200 clients. With employment opportunities in the public and private sector, on both a permanent and temporary basis, we make it easy for people to find employment and for companies to find staff with the skills they need. Solutions include permanent and temporary positions, holiday, maternity or sick coverage, through to large workforce transformation and outsourcing contracts.
More information available on www.manpowergroup.cz