ManpowerGroup : Demand for Skilled Talent Persists for Q1 Despite Global Headwinds

• ManpowerGroup Employment Outlook Survey : Demand for Skilled Talent Persists for Q1 Despite Global Headwinds

• How Today’s Trends are Impacting Jobs

• Workforce Trends & Challenges

The ManpowerGroup Employment Outlook Survey measures employers’ intentions to increase or decrease the number of employees in their workforce during the upcoming quarter. It is the most extensive forward-looking survey of its kind, unparalleled in its size, scope and longevity. The Survey has been running since 1962 and is one of the most trusted indicators of labor market trends in the world.

The Net Employment Outlook is derived by taking the percentage of employers anticipating an increase in hiring activity and subtracting from this the percentage of employers that expect to see a decrease in employment at their location in the next quarter. A positive Net Employment Outlook figure means that, on balance, there are more employers who expect to add to their headcount in the following three months than those who intend to reduce staff.

“Our report indicates that there are early signs of labor markets softening and hiring intentions moving lower given the economic headwinds we are experiencing. Though employers say they are beginning to dial down their hiring plans in some areas, we still see strong demand for specific skills including IT, logistics, and finance. Amidst a cost-of-living crisis, and a depreciation in real-time wages, companies need to think more than ever about attracting and retaining their workers – that might start with pay, yet our data tells us flexibility, career development, and purpose-driven work is worth up to 5% of salary to many workers. There are lots of levers available for companies to attract and retain the talent they need to stay competitive.” said Jonas Prising, ManpowerGroup Chairman & CEO.

What is the survey methodology?

The methodology used to collect the data for the Employment Outlook is digitized across the 41 markets, beginning with the Q1 2022 report.

Respondents in previous quarters were contacted via telephone. Data is now collected online with double opt-in member panels and they are incentivized to complete the survey. In line with standard findings of online surveys, more people are now taking a position – selecting that their workforce will either increase or decrease vs. no change. Because the Net Employment Outlook is based only on the people saying increase or decrease, the result of this higher level of engagement means the methodology shift may contribute to a higher Outlook.

The survey data was collected in November of 2022.

The Q1 2023 ManpowerGroup Employment Outlook Survey is based on interviews with more than 38,000 public and private employers in 41 countries.

Executive Summary

• Used internationally as a bellwether of economic and labor market trends, the Net Employment Outlook – calculated by subtracting the percentage of employers who anticipate reductions to staffing levels from those who plan to hire – now stands at +23%, down (-6%) from Q4 and (-14%) than this time last year.

• Organizations in the IT industry report the most optimistic Outlook (+35%); followed by Financials & Real Estate (28%), and Energy & Utilities (+26%).

• The brightest hiring intentions for next quarter are in North America (+31%) and South and Central Americas (+28%), with the greatest expectations in Panama (+39%), Costa Rica (+35%) and Canada (34%).

• Large organizations (250+ employees) are more than twice as optimistic as micro (less than 10 employees) to hire in the coming quarter with Outlooks of 29% and 13%, respectively.

For full report, please visit https://go.manpowergroup.com/hubfs/MPG_MEOS_Report_Q1_2023.pdf