Czech employers report hiring slow down in early 2019

Czech employers report hiring slow down in early 2019

Traditionally January-February is considered a key hiring time for employers of international relocates to Prague and the Czech Republic due to increased rates of turnover. New figures from recruitment agency the ManpowerGroup suggest that in 2019, however, this might not be the case.

So what exactly does that mean for those seeking work in the Czech Republic?



The ManpowerGroup employment outlook survey reports a seasonally adjusted net employment outlook of +4%, for the first quarter of 2019 with Czech employers anticipating subdued hiring activity during the January to March period.

Hiring prospects decline by 2 percentage points when compared with the previous quarter but remain relatively stable in comparison with the same period last year.

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Payrolls are forecast to grow in seven of 10 industry sectors and all three regions during the upcoming quarter. In a comparison with 4Q 2018, hiring plans weaken in seven sectors and all three regions, while outlooks dip in six sectors and two regions when compared with this time one year ago.

“The first quarter is often the worst period in terms of employment, and it is not uncommon to see workforce reductions in many sectors. On the other hand, the net employment outlook +4 is very similar to first quarters in the previous two years. That can be a sign of the continuing optimism of the Czech labor market with the lowest unemployment in Europe,” said Jaroslava Rezlerová, Managing Director of ManpowerGroup Czech Republic.

While this is good news for people looking for a job, companies increasingly complain that they cannot find enough suitable candidates. The biggest need for candidates is in the IT and engineering industries. Many companies are also reporting a lack of candidates for positions jobs in manufacturing and logistics. Rezlerová adds that Manpower also sees a lot of inquiries in the automotive sector and call centers.

According to the survey, employers in 31% of large companies plan to increase the number of vacancies.

In terms of regional forecast, employers in Moravia report the strongest outlook of +5%, declining by 2 percentage points quarter-over-quarter, but improving by 3 percentage points in comparison with last year at this time.

In both Prague and Bohemia, employers report outlooks of +3%: The numbers for Prague remain relatively stable when compared with the previous quarter, but declined by 2 percentage points year-over-year.

In Bohemia, the outlook declines by 4 percentage points in comparison with both 4Q 2018 and 1Q 2018.

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Katrina Modrá

A long-time resident of Prague, Katrina Modrá has covered Czech culture, lifestyles, and news for both local and international publications for 15+ years.

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