Bulgarian employers report cautiously optimistic hiring prospects for the next three months, with a seasonally adjusted Net Employment Outlook of +10%,according to the latest Manpower Employment Outlook Survey

image001Third-quarter hiring plans are 2% weaker when compared with previous quarter and relatively stable when compared year-over-year

  • Staffing levels are expected to grow in all five regions during 3Q 2016
  • Staffing levels are forecast to grow in all 10 industry sectors during 3Q 2016
  • The strongest labor market is anticipated in Rousse, where the Net Employment Outlook stands at +14%.
  • Employers anticipate the strongest labor markets in the Manufacturing sector and the Transport, Storage & Communication sector, with employers in both reporting respectable Net Employment Outlooks of +14%.
  • The weakest hiring prospects are reported by Agriculture, Hunting, Forestry & Fishing sector employers, with an Outlook of +2%
  • Payrolls are expected to increase in all four organization size categories during the next three months.
  • The Manpower Employment Outlook Survey for the third quarter 2016 was conducted by interviewing a representative sample of 620 employers in Bulgaria. All survey participants were asked, “How do you anticipate total employment at your location to change in the three months to the end of September 2016 as compared to the current quarter?”
  • Throughout this report, we use the term “Net Employment Outlook.”  This figure is derived by taking the percentage of employers anticipating total employment to increase and subtracting from this the percentage expecting to see a decrease in employment at their location in the next quarter. The result of this calculation is the Net Employment Outlook.
  • From this point forward, all data discussed in the commentary is seasonally adjusted, unless stated otherwise.

Bulgaria, Sofia, June 14, 2016 – Bulgarian employers report respectable hiring intentions for the coming quarter. The seasonally adjusted Net Employment Outlook (NEO)is+10%. Hiring plans are 2 percentage points weaker when compared with the previous quarter, while remaining relatively stable year-over-year.

“According to the European Commission, the development of the labor market in Bulgaria is expected to continue improving over the next two years. The rate of growth of employees will gradually increase from 0,3% in 2016 to 0,5% in 2017,” Nadia Vassileva, Managing Director of Manpower Bulgaria, Serbia and Croatia commented. “If everything goes to plan, the unemployment will reduce from 8,6% in 2016 to 8,0% at the end of this period,” Nadia Vassileva added.

Regional Comparisons

Staffing levels are expected to grow in all five regions during 3Q 2016. The strongest labor market is anticipated in Rousse, where the Net Employment Outlook stands at +14%. Steady job gains are forecast in Plovdiv – +11%, while Sofia employers report a cautiously optimistic Outlook of +10%. Modest workforce gains are anticipated in Varna and Burgas, with Outlooks of +7% and +6%, respectively.

Quarter-over-quarter, Varna employers report a decline of 5 percentage points, while the Outlook for Sofia is 4 percentage points weaker. Meanwhile, Burgas employers report relatively stable hiring plans and there is no change in both Plovdiv and Rousse.

When compared with 3Q 2015, hiring prospects strengthen in three regions, most notably by 3 and 2 percentage points in Rousse and Varna, respectively. Plovdiv employers report a decline of 4 percentage points, while the Outlook for Sofia is 3 percentage points weaker.

 

Sector Comparisons

Staffing levels are forecast to grow in all 10 industry sectors during 3Q 2016. Employers anticipate the strongest labor markets in the Manufacturing sector and the Transport, Storage & Communication sector, with respectable Net Employment Outlooks – +14%. Favorable hiring plans are also evident in the Finance, Insurance, Real Estate & Business Services sector and the Wholesale & Retail Trade sector, where Outlooks stand at +11%. The Outlook for the Construction sector is +10%, while some job gains are forecast in two sectors with Outlooks of +7% − the Electricity, Gas & Water Supply sector and the Restaurants & Hotels sector. The weakest hiring prospects are reported by Agriculture, Hunting, Forestry & Fishing sector employers, with an Outlook of +2%.

“The manufacturer Tessie invests BGN 15 millionin opening a new factory. The investment is intended to double production once completed. Tessie is one of many manufacturers in Bulgaria that export most of their production abroad. The new factory opens 80 new work places,” Nadia Vassileva, Managing Director of Manpower Bulgaria, Serbia and Croatia commented.

When compared with the previous quarter, employers in seven of the 10 industry sectors report weaker hiring prospects. Outlooks decline by 7 percentage points in the Construction sector, the Manufacturing sector and the Public & Social sector, while Electricity, Gas & Water Supply sector employers report a decrease of 6 percentage points. However, hiring plans improve in two sectors, most notably by 4 percentage points in the Agriculture, Hunting, Forestry & Fishing sector.

Year-over-year, Outlooks decline in six of the 10 industry sectors. Mining & Quarrying sector employers report the most noteworthy decrease of 10 percentage points. The Outlook for the Finance, Insurance, Real Estate & Business Services sector is 6 percentage points weaker, while Manufacturing sector employers report a decline of 4 percentage points. Meanwhile, hiring prospects improve in four sectors, including the Electricity, Gas & Water Supply sector and the Wholesale & Retail Trade sector, with increases of 8 and 4 percentage points, respectively.

SA

Q3_15

Q2_16

Q3_16

NATIONAL TOTAL:  BULGARIA

10

12

10

SECTORS

AGRICULTURE, HUNTING, FORESTRY & FISHING

3

-2

2

CONSTRUCTION

8

17

10

ELECTRICITY, GAS & WATER SUPPLY

-1

13

7

FINANCE, INSURANCE, REAL ESTATE & BUSINESS SERVICES

17

15

11

MANUFACTURING

18

21

14

MINING & QUARRYING

15

6

5

PUBLIC & SOCIAL

8

12

5

RESTAURANTS & HOTELS

8

7

7

TRANSPORT, STORAGE & COMMUNICATION

11

12

14

WHOLESALE & RETAIL TRADE

7

12

11

REGIONS

BURGAS

5

7

6

PLOVDIV

15

11

11

ROUSSE

11

14

14

SOFIA

13

14

10

VARNA

5

12

11

ORGANIZATION SIZE

 

 

 

MICRO

4

7

6

SMALL

9

11

7

MEDIUM

15

18

8

LARGE

19

23

21

Source: Manpower

Organization Size Comparisons

Payrolls are expected to increase in all four organization size categories during the next three months. Large employers anticipate the strongest labor market, reporting a solid Net Employment Outlook of +21%. Elsewhere, some job gains are forecast in the Medium- and Small-size employer categories, where Outlooks stand at +8% and +7%, respectively, while the Outlook reported by Micro employers is +6%.

When compared with the previous quarter, hiring prospects decline by a considerable margin of 10 percentage points for Medium employers. Small employers report a decrease of 4 percentage points, while the Outlook for Large employers is 2 percentage points weaker. Meanwhile, Micro employers report relatively stable hiring intentions.

Participating employers are categorized into one of four organization sizes: Micro businesses have less than 10 employees; Small businesses have 10-49 employees; Medium businesses have 50-249 employees; and Large businesses have 250 or more employees.

 

About ManpowerGroup

ManpowerGroup® (NYSE: MAN) is the world’s workforce expert, creating innovative workforce solutions for nearly 70 years. As workforce experts, we connect more than 600,000 people to meaningful work across a wide range of skills and industries every day. Through our ManpowerGroup family of brands – Manpower®, Experis®, Right Management ® and ManpowerGroup® Solutions – we help more than 400,000 clients in 80 countries and territories address their critical talent needs, providing comprehensive solutions to resource, manage and develop talent. In 2016, ManpowerGroup was named one of the World’s Most Ethical Companies for the sixth consecutive year and one of Fortune’s Most Admired Companies, confirming our position as the most trusted and admired brand in the industry. See how ManpowerGroup makes powering the world of work humanly possible: www.manpowergroup.com

About Manpower Bulgaria  

Manpower is one of the leaders on Bulgarian market in contingent and permanent recruitment workforce solutions. It is part of ManpowerGroup, the world leader in innovative workforce solutions, which creates and delivers high-impact solutions that enable clients to achieve their business goals and enhance their competitiveness. With branches in Sofia, Plovdiv, Bourgas and Varna, Manpower has provided organisations in Bulgaria with a continuum of staffing solutions from the incidental to the strategic for nine years now, working with businesses from all industry sectors to help them win. In the Human Age, where talent has replaced access to capital as the key competitive differentiator, Manpower Bulgaria leverages its trusted brand to develop a deep talent pool, providing clients with access to the people they need, fast. Manpower Bulgaria creates powerful connections between organisations and the talent they need to enhance their competitiveness and unleash their workforce potential. By creating these powerful connections, we help everybody achieve more than they imagined, and power the world of work.

www.manpower.bg

 

For further information and to arrange an interview, please contact:

Nina Nedelcheva, nina.nedelcheva@ndg-communications.eu, +359 887 378 328

 

 

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