No more job losses expected, claim 90% of employers

NINE out of 10 employers do not expect any further job losses in the coming months.

A survey shows that pressure on the construction sector appears to be easing while hiring plans in the pharmaceutical sector are positive.

The latest Manpower survey of more than 600 Irish employers indicates that the overall employment climate is expected to remain downbeat in the July to September period with just 4% of employers expecting to hire staff.

Managing director of Manpower Ireland Krissie Davies said: “Organisations are coping with operational and trading challenges as they progress through the recovery.

“These results reflect the uncertainty and fluctuations businesses are facing.”

Employers in the pharmaceutical sector anticipate the strongest hiring plans among the 11 sectors surveyed, with a net employment outlook of +5%. Although the construction sector outlook stands at a flat 0%, this is the first time since the second quarter of 2008 that employers in the sector have not reported negative hiring intentions.

The construction sector outlook has also climbed 33 percentage points since the bleak forecasts in the first quarter of 2009.

Employers in the transport, storage and communication sector reported a net employment outlook of -10%, down 8 percentage points from last quarter.

Employers in the restaurants and hotels sector forecast sagging hiring prospects in the next quarter, with an outlook of -8%. Downbeat hiring intentions are reported by employers in the finance and business services (-4%), manufacturing (-4%), wholesale and retail trade (-4%) and electricity, gas and water (-2%) sectors.

Compared to a year ago, hiring plans are stronger in five industry sectors, notably construction (up 12 percentage points), mining and quarrying (up 11 percentage points) and pharmaceutical (up 9 percentage points).

Employers in all five regions reported negative hiring plans yet the outlook is stronger in four of the regions both quarter-over-quarter and year-over-year.

Dublin region employers indicate the weakest outlook at -5%, which is down by 8 percentage points compared to the second quarter but is 4 percentage points stronger year-over-year.

Weak hiring prospects are expected by employers in Munster (-4%), Ulster (-4%), Connaught (-2%) and Leinster (-2%). Noteworthy, the net employment outlook in Connaught is 8 percentage points stronger compared to a year ago.

“We are seeing the fears which paralysed job seekers during the recession, such as last in-first out, being replaced by increased confidence and a growing number of individuals are changing jobs.

“Networking both on and offline creates opportunities, which is what the human age is about for job seekers. Being ready to take advantage of opportunities, to realise one’s potential and ambition,” said Ms Davies.

In the Europe, Middle East and Africa (region, employers reported positive hiring intentions in 17 of the 21 countries surveyed with individual outlooks improving in 13 of 21 countries from three months ago and year-over- year. Hiring expectations are strongest in Turkey (+35%), Romania (+20), Bulgaria (+14%) and Poland (+14%).