Swiss Labor Market 2020: Six Reasons for Optimism

The Michael Page Swiss Job Index measures the number of vacancies advertised on company websites throughout Switzerland and highlights the most important trends on a monthly basis. The finding at the start of the new year: Demand for skilled workers is still booming in 2020, with many industries experiencing a significant shortage of qualified applicants. Employers are investing considerable resources to attract and retain well-trained specialists.

Six reasons for optimism on the Swiss labor market in 2020

1. The number of advertised jobs increased by +8.4 % year-on-year (December 2018 - December 2019): according to the Michael Page Swiss Job Index (December 2019), many occupations have double-digit growth rates and are above the national average. For example, annual growth in advertised IT jobs reached +16.0 %.
2. Demand is outstripping supply for many specialist jobs: these include IT, facilities and building information managers, as well as planning and logistics specialists. Robust demand for IT specialists is driven by the ongoing digital transformation programs of organizations across all industries - but especially in financial services. Demand for logistics and planning specialists is driven by significant growth in online retail during the holiday season. The growth in advertised jobs for real estate specialists is related to demand for both new construction and remodeling projects.
3. According to the PageGroup Confidence Index (Q4 2019), 50.0 % of applicants are confident they will find a job within three months. In addition, three-quarters of applicants are willing to do temporary or interim work. Their main motivation here is the possibility of converting such jobs into full-time positions or acquiring new skills to improve their chances of finding a permanent position elsewhere.
4. Salary expectations have increased: Two-thirds of candidates expect a salary increase of 5 % or more, according to PageGroup's Q4 2019 Confidence Index, and 81.9 % say this is important when choosing an employer. But money isn't everything - three key factors are weighted more heavily than a salary increase: good working relationships with supervisors and colleagues (97.2 %), working for an organization that takes its social responsibilities seriously (85.9 %), and access to training opportunities (85.6 %).
5. Companies invest in sales jobs: The higher the investment in sales, the greater the confidence of company leaders in rising demand and higher earnings. Advertised sales jobs grew by +8.5 % year-on-year across Switzerland - particularly in specialist areas such as pharmaceuticals, medical technology and IT.
6. The need for new skills is growing: For example, in 2019, jobs requiring skills in the field of artificial intelligence appeared for the first time in the Michael Page Swiss Job Index. The gap between demand and supply of suitably qualified applicants is so large that companies are advertising positions for AI interns in the hope of securing such talent early on.
   The "Greta effect" is also making itself felt: The number of advertised jobs in the eco sector, for example for environmental scientists, has increased significantly in the last 12 months - since Greta Thunberg appeared on the international scene.

Applicants drive the market

"Recruiting top talent will continue to be a challenge for employers in 2020 as we find ourselves in a candidate-driven market in many industries," comments Nicolai Mikkelsen, Executive Director at Michael Page. "We recommend employers streamline their recruitment processes to attract the best candidates. In addition, they should be prepared to accept the second or third candidate on their shortlist, as the top candidates will accept one of many offers during the recruitment process."

Source and further information: www.michaelpage.ch