The latest ManpowerGroup Employment Outlook Survey highlights a complex UK hiring landscape in Q3.
- Despite a slight decline, the UK’s Net Employment Outlook maintains a robust +20%.
- UK youth unemployment remains notably higher than the national average, yet hiring intent is strong for under-25s.
- Employers face challenges engaging younger workers due to unmet work-life balance expectations.
- Adapting to technological demands is key, with AI technologies influencing the labor market.
The latest ManpowerGroup Employment Outlook Survey provides insight into the UK’s hiring trends for the third quarter, revealing a nuanced but positive hiring intent among 2,100 respondents. Despite a modest three-point decrease quarter-on-quarter, the Net Employment Outlook remains at a healthy +20%, positioning the UK 3% above the EMEA regional average but slightly trailing the global outlook of +22%.
Youth unemployment rates in the UK persist at more than double the national average, a concerning statistic in a changing economic landscape. However, the survey indicates a strong willingness among UK managers to employ younger workers, particularly those under the age of 25. Regions like Northern Ireland, Scotland, Wales, East Midlands, and Yorkshire & Humberside show especially high hiring intent, with figures near or over 50%.
Nevertheless, UK employers report significant challenges in engaging employees under 35, primarily due to unmet expectations in work-life balance and perceived skills gaps. The top strategies employers plan to implement to combat these issues include offering flexible work hours, enhancing employee wellbeing, and improving technological tools available to workers.
Generational stereotypes suggesting a lack of work ethic among Gen Z are being challenged as this group shows a strong desire to acquire new skills and leverage advanced technologies. The survey highlights that over half of respondents self-identify as early or current adopters of AI tools like ChatGPT and DALL.E, indicating a shift in how work is perceived and executed.
With emerging technologies rapidly transforming the labor market, there is a notable possibility that Gen Z may represent the last generation to engage in traditional full-time work. This shift underscores the need for a new developmental pact between Gen Z and employers, focusing on offering appropriate training and professional growth opportunities.
Michael Stull from ManpowerGroup UK emphasizes the importance of understanding intergenerational opportunities to unlock a workforce ready to adapt to evolving technological, environmental, and employment trends. This necessity extends to forming strategic partnerships among businesses, educational institutions, and governmental bodies to foster lifelong learning and prevent potential workforce obsolescence.
Successfully navigating these changes is crucial, given that 80% of employers report ongoing difficulties in sourcing highly skilled talent, a dramatic increase from 14% over the past decade. With Gen Z poised to make up a significant portion of the global workforce by 2030, addressing these challenges is imperative for individual and national economic prosperity.
A coordinated effort is essential to bridge generational gaps and address the evolving demands of the labor market as Gen Z becomes a dominant workforce presence.
