Labour market in Q2: Croatia shows prediction of growth

KEY GLOBAL DATA:

• 16% of employers stated that vaccination will be mandatory for all their employees
• In the next 6-12 months, organizations expect 51% of employees to return to the workplace
• 77% of employers expect employment levels to return to pre-pandemic levels by the end of the year

EMEA KEY DATA:

Predictions improve or remain the same in seventeen countries, and fall in seven countries compared to the first quarter (Bulgaria, Finland, Germany, Greece, Italy, Ireland and the Netherlands).

Croatia (12%), Romania (12%) and Turkey (10%) predict the highest employment growth in the region, while the weakest results are expected in Great Britain (-5%) and South Africa (-5%).

In France, employment predictions are up 6% compared to the first quarter, with employers in the construction industry and manufacturing reporting the most optimistic hiring plans.

In Germany, the highest percentages of employment were recorded in the finance and business services sector (+ 15%), while the hospitality sector (-16%) reported the worst period since 2003.

Different results of the predictions of the quarter were recorded in the three largest EU economies.

Employers in France expect strong employment growth in all seven French industrial sectors compared to the previous quarter. Employers in the construction sector expect upbeat hiring activity, and the outlook for the manufacturing sector is at its highest level in 13 years.

However, German employers report more cautious employment growth expectations for the second quarter of 2021. Forecasts are down in all seven German industrial sectors compared to the first quarter of 2021 and last year. 

Employers in the construction sector expect the worst employment opportunities in the last seven years, while projections for the hotel and catering sectors are the lowest since 2003. In Italy, employers expect to cut the number of employees during the coming quarter as the national economic forecast is negative. 

Employment prospects fell in five industry sectors, both from the previous quarter and from last year, including the lowest employment plans for the manufacturing sector in seven years. Croatia and Romania recorded the highest percentage of employment growth in the entire EMEA region. 

In Croatia, the volume of the active workforce is expected to increase in all seven industrial sectors during the second quarter of 2021, while Romania's has been improving for three consecutive quarters.