Swiss employers remain optimistic at the start of the year
Despite the uncertain economic climate, Swiss employers are expecting an increase in recruitment activities in the first quarter of 2025. Upskilling and reskilling existing employees will become a key strategy to counteract the shortage of skilled workers.
Global economic upheaval and challenges in the eurozone continue to influence recruitment plans in Switzerland. Nevertheless, Swiss employers are showing resilience and remain positive about the employment outlook. The net employment outlook (NEO) for the first quarter of 2025 is 29%. Although this represents a decline of 4 percentage points compared to the previous quarter and the previous year, Switzerland remains globally competitive. In a global comparison, Switzerland ranks sixth with its NEO, 4 percentage points above the global average of 25%.
"Despite a slight decline in hiring expectations, the Swiss labor market remains one of the most competitive and resilient in the world. This reflects the adaptability and skillful strategic orientation of Swiss companies," says Eric Jeannerod, Country Manager of Manpowergroup Switzerland.
Recruitment challenges
Swiss companies face considerable challenges in their search for skilled workers. 76% of employers state that it is "difficult" or "very difficult" to find suitable candidates. To counteract this, organizations are implementing various strategies, with flexible working time models being a priority. Salary increases and initiatives to upskill existing employees also play an important role, as do flexible working locations.
Hiring intentions vary depending on the Swiss region. The Zurich region has the most competitive outlook with a NEO of 40%. This is an increase of 7 percentage points compared to the previous quarter, but 4 percentage points below the previous year's figure. Northwestern Switzerland recorded the highest growth with an NEO of 36%, an increase of 13 percentage points compared to the previous quarter. In contrast, the Ticino region is struggling with a negative NEO of -14%. These differences reflect the diversity of local economic conditions. While some regions are benefiting from strong growth drivers, there are others that are more cautious or even negative about growth opportunities.
Industry-specific trends
Seven out of nine Swiss sectors expect an increase in employment in the first quarter of 2025. The health and life sciences sector leads the field with a record NEO of 46%, the highest level since the surveys began in 2022. This represents an increase of 11 percentage points compared to the previous quarter and 17 percentage points compared to the previous year. Information technology also shows robust expectations with a NEO of 32%. The Energy & Utilities sector has the weakest outlook at -26%, reflecting challenges such as price volatility and regulatory pressure.
Everyone has difficulties finding skilled workers
The shortage of skilled workers is a challenge across all sectors. For example, 94% of employers in the information technology sector state that it is "difficult" or "very difficult" to find skilled workers. Similar difficulties are reported by healthcare and life sciences companies (85%), energy & utilities and consumer goods & services (82% each).
Across Switzerland, IT and data skills are the hardest skills to find. 27% of employers see major challenges here, reflecting the country's increasing reliance on digital and technology skills. Other key areas of skills shortage include HR skills (23%), manufacturing or production skills (22%) and engineering skills (21%). These figures highlight the need for specialized technical and operational talent.
Large companies lead optimism
Hiring expectations remain positive across all company sizes. Large organizations (5,000+ employees) are the most optimistic, reporting an NEO of 43%, an increase of 20 percentage points quarter-over-quarter and 9 percentage points year-over-year. This NEO reflects the strong confidence of large organizations in the economic recovery. In contrast, micro-enterprises (fewer than 10 employees) appear to have less confidence in positive growth opportunities with an NEO of 8%.
However, larger organizations also report the greatest difficulties in filling vacancies. 36% state that they have considerable difficulties. In the case of micro-enterprises, only 11% report such difficulties.
Building a sustainable workforce
Swiss companies continue to focus on skills development and alignment with ESG goals, particularly in technology-driven sectors. However, diversity initiatives are still in their infancy, with 64% of employers acknowledging only limited progress. However, efforts to improve workplace inclusion and resilience are expected to expand in 2025.
Source: www.manpowergroup.ch
