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US hiring intentions strongest in hospitality in Q2 2018, ManpowerGroup reveals

US employer hiring confidence is staying strong in Q2 2018 as one in five plan to grow their workforce in the three months ahead. The seasonally adjusted Net Employment Outlook for Q2 2018 is +18%, according to the latest ManpowerGroup Employment Outlook Survey of more than 11,500 U.S. employers.

Organisations are planning to add staff across all 13 industry sectors in Q2 2018. Employers report the strongest hiring intentions in leisure & hospitality (+28%) as the economy picks up. Strong outlooks for professional & business services (+24%) and wholesale & retail trade (+23%) point to demand-driven growth in line with increased wages. Employers in wholesale & retail trade report some of the most optimistic outlooks in more than 16 years as online retail continues to grow and the increase in distribution workers is expected to rise. The weakest outlooks are reported in mining (+15%), government information (+14%) and nondurable goods manufacturing (+12%).

"We're seeing solid, demand-fueled growth across the U.S. as the economy continues to strengthen and the labor market tightens at pace," said Becky Frankiewicz, president of ManpowerGroup North America. "The competition for skilled talent is set to heat up and a just-in-time approach isn't always getting employers the skills they need when they need them. Now is the time to invest in people by upskilling America's workers. We should also seek untapped talent sources with adjacent skillsets that can adapt to fill in-demand positions. At ManpowerGroup we accelerate people's careers offering skills development to help people access in-demand opportunities. Our MyPath™ offering has provided 120,000 U.S. associates with advice and opportunities to increase their skills and earnings. Upskilling the workforce and building employability will be the solution to the Skills Revolution."

The report also showed hiring intentions across the globe:

EMEA: Staffing levels are expected to grow in 25 of 26 countries surveyed in the EMEA region, with the only negative outlook across all countries and territories surveyed reported in Italy (-1).

  • Employers reporting the strongest outlooks are in Croatia (+29) (added to the global survey for the first time) followed by Hungary (+18), Greece (+16) and Turkey (+16)
  • In the Netherlands, jobseekers can expect the strongest hiring prospects in ten years (+8) led by growth in the construction sector
  • In Germany, employers are reporting the strongest hiring intentions in six years (+8) driven by strong demand for skilled Manufacturing workers as companies undergo digital transformation
  • In the UK, employers have recorded their most optimistic jobs forecast in over a year. Job prospects look bright in the Hospitality sector, up fourteen points since this time last year, with employers looking to fill vacancies ahead of Brexit in an industry that is heavily dependent on immigration
  • The outlook in France (+4) increases two percentage points quarter-over-quarter and year-over-year. The strongest forecast comes from large employers with those in Construction reporting some of the most optimistic outlooks
  • In Italy employment levels are forecast to decline in six of the ten industry sectors surveyed as employers adopted a watch and wait approach in anticipation of the general election which took place in early March

Asia Pacific: Employers in all eight countries and territories expect staffing levels to increase with hiring sentiment strongest in Taiwan (+26), followed closely by Japan (+24). The most cautious outlook in the region is reported in China (+8).

  • Hiring confidence in Japan remains strong and stable with employers reporting the most optimistic forecast since 2007 for the second quarter in a row
  • Despite the positive uptick in India's hiring intentions over the past two quarters, confidence has fallen as employers report an Outlook of +16, down five percentage points quarter-over-quarter
  • China's subdued hiring pace continues at the same level for the third consecutive quarter but improves four percentage points from Q2 2017. The most optimistic outlooks are reported by employers in the finance, insurance & real estate sector and services sector

Americas: Positive outlooks are reported in all 10 countries surveyed. US employers report the region's most upbeat forecast (+18).

  • In the U.S., employers report the strongest outlook in leisure & hospitality (+28%) as the economy picks up and Americans dine out. Employers in the Midwest again report the most positive outlook since 2001
  • Canadian employers report the strongest hiring prospects in more than six years (+14), improving for the fourth consecutive quarter
  • Colombian employers report the weakest hiring activity in more than eight years (+6) as hiring outlooks in manufacturing fall sharply quarter-over-quarter and year-over-year

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