Switzerland: grey outlook for the labor market

The forecasts on the world of Swiss labor are not positive for the coming months. According to a survey by Manpower Switzerland, the Swiss employers would not be willing to make major changes in the staff of their companies.

Over nine out of ten employers, 91%, would not intend to recruit staff in the first quarter of next year. The 5% is even expected a cut, only a 2% increase, while the remaining 2% did not express an opinion.

The overall balance is negative for the first time in the past decade, staring at -2%, down 3% both on an annual and quarterly basis.

The results remained at a slightly positive and stable level during all quarters of the year. As explained in the press release the Director of Manpower Switzerland, Herbert Beuchat, optimism seems to bend to the many uncertainties that hang on businesses.

The application of the initiative against mass immigration and reforms of companies are items that weigh on the attractiveness of Switzerland and are reflected by a decline in confidence of employers.

Four out of ten sectors predict an increase in their effective over the next three months. Best expectations come from the hotel industry and catering, with an increase of 9%, with the highest level of optimism since the second quarter of 2015. The financial assets, real estate and business services have kept the trust for the sixth consecutive quarter : the provision of employment is equal to 4%.

The industrial sector (-6%) and public services (-5%) indicate pessimism for the coming months. At the regional level only Zurich and Eastern Switzerland will perform well in terms of employment, according to the survey.