Irelands Q2 Hiring Outlook Optimistic Despite the Worst Talent Shortage in 17 Years
37% of Irish Employers are Planning on Hiring New Staff in Q2 2023Irish employers continue to hire strongly, but more than four in five are struggling to attract talent according to the latest ManpowerGroup Employment Outlook Survey. In the second quarter of 2023 the national hiring Outlook is +22%, down three percentage-points on last quarter and down eight percentage-points year-on-year.The ManpowerGroup Employment Outlook Survey is based on responses from 408 employers across Ireland. It asks whether employers intend to hire additional workers or reduce the size of their workforce in the coming quarter. It is the most comprehensive, forward-looking employment survey of its kind in the world. 81% of Irish employers are having difficulty finding skilled talent, the highest figure recorded since the survey began. The Transport, Logistics & Automotive sector reports the greatest difficulty finding talent (+90%), followed by Energy & Utilities (+88%), and Health Care & Life Sciences (+86%).“Businesses in Ireland are experiencing the worst talent shortage on record.” said John Galvin, Managing Director, ManpowerGroup Ireland. “Businesses are proactively trying to hire, but more than eight in ten are struggling to find the talent they need, more than at any other time in the past two decades ManpowerGroup has been tracking talent shortages. This is set against a backdrop of decreasing job applications, increased job-hopping, and increasingly higher salary expectations from candidates.” “To attract skilled talent in a talent scarce market, we are seeing businesses offering increased salaries across all levels. Data shows an increase of 16% for the €20k plus salary range, 20% increase for the €40k plus range, and an increase of 24% for jobs paying over €100k. This is substantially higher than the 7.8% inflation rate”.The Information Technology sector is recording the highest increase in optimism of any sector, with +32% of employers intending to hire, up 23 percentage-points on last quarter. Taking the rest of the top spots are Healthcare and Life Sciences (+42%), Finance & Real Estate (+34%) and Transport, Logistics & Automotive (+33%).“The Tech sector is coming back to life” explains Galvin. “Renewed optimism is revolving around Ireland’s positive economic growth projections for 2023 and the cooling of interest rate increases. However, with the talent shortage at a record high, candidates can afford to be very selective over the roles they choose, with 79% of IT companies reporting difficulty finding skilled talent.”Employers in Dublin report a hiring Outlook of +25%, down two percentage-points on last quarter and a decline of four percentage-points year-on-year. Leinster (9%), Connaught (+15%), Munster (+30%), and Ulster [Cavan, Donegal & Monaghan] (+35%) all report positive Outlooks.82% of employers in Dublin report difficulty finding skilled talent. Across the regions, Munster (86%), Leinster (83%), Ulster [Cavan, Donegal, and Monaghan] (81%), while Connaught reports the least difficulty (59%).Galvin continues: “We have seen a slight decline in Dublin’s employment Outlook, with our data showing job advertisements down 12%. However, hiring across the Capital remains strong – nowhere more so than in the Healthcare & Life Sciences sector, where more than half the employers in the industry are looking to hire. Despite this hiring optimism, the Healthcare & Life Sciences space is having some of the greatest difficulty finding the talent that fits their needs.”ManpowerGroup forecast a decline in hiring Outlook for micro-businesses in Ireland for Q2, with 22% of businesses with ten employees or fewer intending to hire, down 22 percentage-points on last quarter. Meanwhile, large businesses with over 250 employees have increased their hiring plans, with30% intending to hire, up nine percentage-points on Q1. 72% of micro-businesses report difficulty finding skilled talent, compared to 88% of small businesses with 10-49 employees, 81% of medium-sized businesses with 50-249 employees, and 79% of large businesses.“We know that salaries are increasing in most sectors, and larger employers have the greatest ability to absorb salary increases. Employers may also be reducing headcount in non-essential roles in order to pay for the salaries needed to meet the expectations of highly skilled talent. This is more challenging for smaller businesses who have less headroom to downsize while remaining operational. Despite this, businesses of all sizes remain optimistic going into the second quarter.” concludes Galvin.
Hiring Trends & Business Growth Webinar for Q1 - Feb 22nd 12pm
ManpowerGroup Hiring Trends for Q1 & Business Growth WebinarJoin us for the First ManpowerGroup Ireland Webinar of 2023 where we will be discussing the findings from our latest Q1 Employment Outlook Report and its implications for upcoming recruitment campaigns. We are delighted to be joined by Grifols, a client of ManpowerGroup, who will be discussing their growth plans for 2023 and how they are implementing their recruitment strategies to attract the talent they require to match their business growth objectives. Wednesday February 22nd at 12pm. Speakers from Talent Solutions, ManpowerGroup Ireland and Grifols. 45 minutes duration and Q&A. Key Discussion Points for the Webinar will include:* The latest insights from our Employment Outlook Survey for Q1 2023;* How the findings will impact on organisations recruitment plans;* What types of organisations will be doing the majority of hiring in Q1;* Why companies need to adapt to compete for talent;* What sectors are hiring and what volumes will be required to match demand;* Where are the talent shortages in Ireland and how are organisations adapting;* The latest Tech/IT talent HR trends in the marketplace;* Grifols will be discussing their growth plans for 2023 in Ireland and how they intend to recruit the skilled talent they need in Ireland;* Q&A on any aspect of the topics or any HR area attendees would like to discuss.This is a Free Webinar and suitable for HR Professionals, Senior Management, Talent Acquisition, Business Owners, Talent & People Managers and Business Executives. Registrations is required and places are limited to 4 attendees per company. Book your place today and you are welcome to invite a colleague/friend who might like to attend.
ManpowerGroup Ireland Q1 2023 Employment Outlook Report Just Released
Communications & Finance Sectors Boom in Q1 2023; IT Sector Puts on the Breaks Pulling Back from Last Years Highs · Ireland’s Net Employment Outlook remains a positive +23%, a slight decline of 3 percentage-points on Q4 2022· Dublin-based Communications Services and Finance sectors lead the pack with hiring intentions of +46% and +43% · However, the I.T sector puts on the brakes but remains positive with +9% intending to hire· Big businesses hiring cools, but small businesses expand hiring plans with +41% intending to hire. Irish employers will enter a state of cautious growth in the new year, according to the latest ManpowerGroup Employment Outlook Survey. In the first quarter of 2023 the national hiring Outlook is +25%, down 3 percentage-points on last quarter and down 22 percentage-points on Q1 2022’s record start to a year. All sectors remain positive, but employers paint a mixed picture – with hiring surging in the Dublin-based Finance sectors, but employers in the Tech, Hospitality & Consumer goods sectors are less optimistic. The ManpowerGroup Employment Outlook Survey is based on responses from 410 employers across Ireland. It asks whether employers intend to hire additional workers or reduce the size of their workforce in the coming quarter. It is the most comprehensive, forward-looking employment survey of its kind in the world. The Communication Services sector is recording the strongest hiring intention in Ireland, with +46% of employers in the telecommunications, entertainment and media space planning to hire in the first quarter, an increase of 28 percentage-points on last quarter and up + percentage-points year-on-year. This is followed by the Finance & Real Estate sector, with +43% of employers plan to hire, an increase of 9 percentage-points on last quarter and up 13 percentage points year-on-year. “All sectors remain optimistic, but it’s a mixed picture.” said John Galvin, Managing Director, ManpowerGroup Ireland. “We’re seeing the communications industry go from strength to strength, and the Finance sector continues to boom – both showing record hiring intentions. However, the previously booming Tech sector is now much more cautious following a period of unprecedented hiring, impacted by lay-offs in big-tech companies based in Dublin. Employers in Dublin report a hiring Outlook of +27%, an increase of 4 percentage-points on last quarter and a decline of -20 percentage-points year-on-year. Ulster is the most optimistic region at (+29%) in bucking the national trend by increasing hiring intention in Q1. Munster (+16%), Leinster (+20%), and Connaught (+23%) report positive Outlooks. “Dublin is continuing to perform as a global centre of business activity.” explains Galvin. “Despite a slight national decline and hit to the tech sector, Dublin remains buoyant – driven by the City’s booming Finance industry which continues to see the benefits of international investment, and a burgeoning Life Sciences sector which has accelerated hiring since last quarter.” The Consumer Goods & Services sector is recording a hiring intention of +12%, down 10 percentage-points on last quarter and a decline of 43 percentage-points year-on-year. This indicates a slowdown in hiring across restaurants, hotels, arts, and retail trade, particularly outside of major metropolitan areas. Galvin explains: “As economic pressures put a squeeze on all of us, we’re seeing employers across the service sector rein in their hiring plans, particularly in rural parts of the country where businesses are less insulated from economic shocks. However, the mood leans towards cautious growth as employers are still hiring in positive numbers.” Much of the decline in Outlook has been driven by larger employers, with 21% intending to hire in Q1, a decline of -25 percentage-points on last quarter. Meanwhile, 41% of businesses with ten employees or less intend to hire, up 12 percentage-points on last quarter and up 7 percentage-points on last year. “As large organisations took the lead in the majority of hiring for most of 2022, we are seeing smaller business become more confident in their growth prospects. We are also seeing cases where smaller businesses are taking advantage of larger organisations restructuring programs and snapping up staff they were previously unable to attract due to competition with large organisations” Galvin concludes.