Employers globally dial down hiring expectations in Q3 

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While temperatures in many countries are heating up, global hiring plans are cooling off heading into summer, according to the latest ManpowerGroup (NYSE: MAN) Employment Outlook Survey of nearly 39,000 employers in 41 countries. The research is based on survey responses fielded from April 3-28, 2023. The Net Employment Outlook (NEO) for Q3 is +28%, down 4% from the same time last year, suggesting that economic headwinds are starting to impact employers’ hiring expectations. 

“This data suggests employers are planning more measured hiring for the quarter ahead as they navigate a range of local and macro level challenges from supply constraints to uneven consumer confidence and rising inflation,” said ManpowerGroup Chairman and CEO Jonas Prising. “That said, attracting and retaining business critical talent remains a priority, and our survey respondents around the world continue to be focused on hiring for in-demand roles.” 

Used internationally as a bellwether of economic and labor market trends, the NEO is calculated by subtracting the percentage of employers who anticipate reductions in staffing levels from those who plan to hire. 

KEY FINDINGS FROM THE Q3 REPORT 

• For Q3 the most optimistic hiring outlooks are reported by organizations in Costa Rica (+43%), the Netherlands (+39%), and Peru (+38%). Employers in Argentina (+6%), Slovakia (+10%), Austria (+11%), and Italy (+11%) report the least optimistic outlooks. 
• Among the world’s largest economies, respondents in the United States (+35%), the United Kingdom (+29%), Germany (+28%), and France (+21%) all plan to hire in the third quarter. 
• Organizations in the IT sector (39%) report the strongest outlook, followed by Energy & Utilities (34%). The least optimistic hiring plans are found in the Communication Services (22%) and Consumer Goods & Services (22%) industries. 
• Year-over-year, employers in 26 countries plan to hire fewer workers, with the NEO declining -4 percentage points. The biggest year-over-year declines are reported in Brazil (-19%), India (-15%), Argentina (-14%), Finland (-14%), and Ireland (-14%).