Fewer Temporary Workers in Germany

The number of temporary workers in Germany has been decreasing since 2018 and will continue to do so this year. 2019 will see decrease of 4.2%. The production segment is particularly affected. The number of temporary workers right now lies around 958,000. The downward trend is expected to continue until 2022, as shown in a study by Interconnection Consulting.

 

Temporary Work as an Early Indicator

By 2022, the number of temporary workers will have dropped down to around 882,000. 2018 also saw a decrease in the number of temporary staffing companies (by -0.9%). The main reasons for the decline are economic developments and legal regulations. Particularly the automotive industry suffered from sales difficulties in China and uncertainties due to Great Britain’s planned exit from the European Union. „The temporary work industry is considered to be an early indicator of economic developments because it quickly senses any change in demand in the labour market,“ says to Katarina Gajdova, the author of the study. Furthermore, new legal regulations (Equal Pay, limited leasing periods), have increased the pressure on the industry. Both the shortage of skilled labor and the average cost per temporary worker are on the rise.  This is also due to a gradual increase in the minimum wage. According to Gajdova „the problem here is that the additional costs the face can rarely be passed on to the customer,“. The segment with the best performance is ‚personel services’, which saw an increase of 6.3% this year.

 

Digitisation Improves Service in the Industry

Digitisation creates new forms of work and fields of activity. Moreover, it has enabled flexibility in terms of working hours and workplace, which is in the interests of both employees and companies. „There are next to no temporary work agencies that would not rely on digital recruiting platforms,“ ​​says Gajdova. Social media and business networks are used more and more in recruitment. „Bots“ are currently considered a very hot topic. The market leader was able to slightly expand its position again, but the top 10 couldn’t quite keep up with the market. The top 15 companies in alphabetical order are: Adecco, Autovision, Dekra, Hays, I.K. Hofmann, Manpower, Office People, Orizon, Persona Service, Piening, Randstadt, Tempton, Time Partner, USG People, ZAG.

Copyright: Interconnection, Publication free of charge for coverage regarding the study and InterConnection Consulting.

Katarina Hornikova

> Learn more about Katarina Hornikova

Katarina Hornikova has been working for Interconnection Consulting since 2017. She specializes in international business strategies, international marketing, as well as the development tendencies of the specific international goods markets. She is responsible for the preparation of studies and market forecasting models within the construction industry. She studied International Trade Management and International Business.

Contact me without obligation, I support you gladly!

Tel:+43 1 585 46 23 18

E-mail:hornikova@interconnectionconsulting.com

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