Q2 2013 Global Talent Market Quarterly
 

Q2 2013 Global Talent Market Quarterly

on

  • 1,992 views

This quarterly report from workforce solution provider Kelly Services delivers valuable insights about global labor market trends.

This quarterly report from workforce solution provider Kelly Services delivers valuable insights about global labor market trends.

Statistics

Views

Total Views
1,992
Views on SlideShare
667
Embed Views
1,325

Actions

Likes
0
Downloads
14
Comments
0

9 Embeds 1,325

http://www.kellyocg.com 1076
http://www.kellyservices.us 103
http://blogs.sap.com 87
http://ocgauth.kellyebiz.com 27
http://www.scoop.it 22
http://usauth.kellyebiz.com 6
http://digg.com 2
http://kellyocg.de 1
http://translate.googleusercontent.com 1
More...

Accessibility

Upload Details

Uploaded via as Adobe PDF

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

Q2 2013 Global Talent Market Quarterly Q2 2013 Global Talent Market Quarterly Presentation Transcript

  • Global Talent Market QuarterlySECOND QUARTER l 2013
  • Global Talent Market QuarterlyCONTENTS3 Global Economic Situation • Briefing • Outlook6 Global Labor Market Update • Americas • EMEA • APAC • Global Labor Market Spotlight • Legislative Update12 U.S. Labor Market Overview • Current Employment Conditions • Supply and Demand • Labor Market Spotlight16 Workforce Solutions Industry Insight • Worker Mobility Strategies • Are Talent Investments Paying Off? • Statement of Work Management • Kelly Knowledge
  • Global Economic SituationSECOND QUARTER l 2013
  • GLOBAL  ECONOMIC  BRIEFING    Global  growth  is  expected  to  be  modest  and  stable  overall  in  2013  before  ramping  up  in  2014-­‐2015,  but  the  underlying  paWerns  suggest  very  different  economic  condi=ons  among  markets  and  regions.  Many  emerging  markets  in  APAC  and  the  Americas  will  see  above-­‐trend  growth,  while  more  moderate  growth  is  forecast  for  the  mature  economies  in  these  regions.  Recessionary  condi=ons  are  expected  to  con=nue  in  2013  in  several  Eurozone  markets,  dampening  near-­‐term  economic  prospects  across  the  region.  Source:  IHS  Global  Insight  (April  2013)  4  AMERICAS  The  regional  economic  outlook  is  brightening,  despite  fiscal  policy  headwinds  in  the  U.S.  and  some  soVness  in  Canada.  Mexico  is  showing  healthy  growth,  while  Brazil  is  rebounding  from  a  very  slow  2012.  The  prospects  for  growth  in  other  La:n  American  economies  depend  on  their  domes:c  policies  and  investment  climates.    EMEA    Economic  condi:ons  are  stabilizing  in  the  Eurozone,  but  recessions  will  persist  in  many  European  markets  in  2013,  par:cularly  in  the  southern  periphery.  In  Central  and  Eastern  Europe,  Eurozone  weakness  will  con:nue  to  restrain  economic  growth,  while  ongoing  poli:cal  tensions  in  the  Middle  East  and  Africa  s:ll  pose  a  threat  to  growth  and  stability  in  many  regional  markets.    APAC  The  APAC  region  will  con:nue  to  lead  global  growth,  driven  by  China,  India,  and  southeast  Asia.  Solid  economic  ac:vity  is  accelera:ng  across  much  of  the  region,  and  many  markets  are  expected  to  see  healthy  growth  in  2013,  but  the  region’s  major  economies  face  some  challenges.  2.6%  2.6%  3.5%   4.0%  4.7%   4.8%  5.6%  6.0%  -­‐0.5%   -­‐0.6%  0.4%  1.2%  2.7%  3.4%  4.2%   4.1%  2.2%  2.0%  2.8%  3.2%  -­‐1%  0%  1%  2%  3%  4%  5%  6%  7%  2012  (e)   2013  (p)   2014  (p)   2015  (p)  REAL  GDP  GROWTH  BY  REGION,  2012-­‐2015  (p)  World     APAC   Eurozone   La=n  America     U.S.  Global Talent Market QuarterlyBACK TOTABLE OF CONTENTS
  • "#$%$AL#$),?$$_""74849:767=G:;M:KCRDC7;CE;4677C3C@6;C;O@4<NO./0U:88C6@3M63374<8;@:CKVH:;OC9C@N:8N96@BC;K3C6E:8NN34563N@4H;OFA68MECGC34DCE74<8;@:CK6@CJ4@C76K;;4KCC94ECK;68E:9D@4G:8NN@4H;O@6;CKFA4K;"<@4DC6896@BC;KH:3373:954<;4J@C7CKK:485M./0UFT.` /` .` S` >` a` 0/`L;63MQ@687C)F_F2C@968Mb6D68#686E6)F!F*<K;@63:6P@6Z:3+<KK:6L8E:6#O:86+"*?2&Y2+$I,]+*,"!V!"?"#,"&A*+_",!b)?4%="2@"PQ!LO7R"8&1K59"PQ!LO7R""PQ!SO7R"PQ!^O7R"^"/012)0"/A-"/&1K59"PQ!LO7RM"PB]"61>&(%*M"EN6"/012)0"E?*895"O#7&0"PQ!LRc"b%>5%&*T"QSB!!B!L"OLRc"""A"+2L%2A*+_",!!! /&1K59"&)5%*"?"#]L%*)&%"%W7%(5%="51"&%$)?")$1?8"59%"K1&0=Z*"989%*5T"2>5"59%"%(1?1$@"*)K"*1$%"5&1>20?8"*8?*"1I"*1V?%**"?"59%"U&*5"7)&5"1I"PQ!LB""!! L%&L**"&%21>?=?8"I&1$")";%&@"K%)4"PQ!P"51"&%5>&?"51"]"8&1K59"?"PQ!LB"b%(%?5"&%I1&$*"9);%"211*5%="?;%*51&"(1?U=%?(%T"K90%"81;%&?$%?5"*7%?=?8")?="()>:1>*"?5%&%*5"&)5%"(>5*")&%"9%07?8"51"&%;;%"=1$%*:("=%$)?=B""!! /A-"8&1K59"*"I1&%()*5"51"=7"51"L]d1&"%;%?"01K%&d?"+)!!L*"?"PQ!LT")*"(1?*>$%&"=%$)?=")?="?;%*5$%?5*"K%&%"*01K"51"2%8?"59%"@%)&T")?="%W71&5"=%$)?="&%$)?%="K%)4B"+(1?1$(")(:;5@"*"%W7%(5%="51"7(4">7"?"PQ!SB"!! D9%"%(1?1$@"K00"8&)=>)00@"$7&1;%"?"P+*cL?"?"PQ!L")?="59%?")((%0%&)5%"?"59%"I1001K?8"@%)&*T"=&;%?"2@"(1?*>$%&"=%$)?=T"81;%&?$%?5"*:$>0>*T")?=""7&%7)&):1?*"51"91*5"59%"*1((%&"C1&0=".>7"?"PQ!S")?="59%"F0@$7(*"?"PQ!B"""&"d"?$Y"&"#$%$AL"!!! *)!,+*?L*Z*"%(1?1$("8&1K59"K00"$1=%&)5%"?"PQ!LT"2>5"9)*"2%%?"&%*0%?5"=%*75%"8012)0")?="&%81?)0"*1V?%**T"=&;%?"2@"1?81?8"?;%*5$%?5"?"59%"$??8"*%(51&B"!! D9%")F!F%(1?1$@"7(4%=">7"*5%)$"?"59%"U&*5"7)&5"1I"PQ!LT"2>5"K00"04%0@"*01K"=>&?8"59%"$==0%"1I"59%"@%)&"=>%"51"59%"81;%&?$%?5"*%e>%*5%&B""E?"#*%*&*T"%(1?1$("8&1K59"*"%W7%(5%="51"2%"*$0)&0@"*>2=>%="?"PQ!LB"X159"59%"<B6B)?=".)?)=)")&%"%W7%(5%="51"*>&7)**"P]"8&1K59")8)?"?"PQ!S")?="PQ!^B"!! #V%&"21f1$?8"1>5"?"0)5%"PQ!PT"b*Y*%Z*"%(1?1$@"*"%W7%(5%="51"&%(1;%&"?"PQ!L")*"81;%&?$%?5"*:$>0>*"$%)*>&%*"5)4%"910=")?="%W71&5"=%$)?="$7&1;%*B"!! +(1?1$("8&1K59"?"59%")F_F"9)*"2%%?"*>2=>%=")?="%**%?:)00@"g)5"*?(%"$=aPQ!PT")?="K00"04%0@"?15"*>&7)**"!]">?:0"PQ!SB"2"+A*%^"I)(%*")"*$0)&"1>50114B"!! D9%"%(1?1$@"?"Q+*%#""*"%W7%(5%="51"(1?5&)(5"$1=%*50@"?"PQ!L")?="&%5>&?"51"*08950@"71*:;%"5%&&51&@"?"PQ!SB"F59%&"+>&17%)?"(1>?5&%*T"?(0>=?8"L,*?^T"!Y*L%T")?="Y$+,)2*?T")&%"?15"7&%=(5%="51"*%%"71*:;%"/A-"8&1K59">?:0"PQ!^B""Global Talent Market QuarterlyBACK TOTABLE OF CONTENTS
  • Global Labor Market UpdateSECOND QUARTER l 2013
  • GLOBAL  LABOR  MARKET  UPDATE:  AMERICAS    Employment  growth  hit  a  slow  patch  in  several  key  Americas  markets  in  early  2013,  as  concerns  over  policy  issues  in  the  U.S.  and  the  s=ll-­‐uncertain  global  economic  climate  may  have  caused  employers  to  put  some  hiring  plans  on  hold.  S=ll,  the  outlook  for  most  regional  labor  markets  is  posi=ve,  with  job  crea=on  forecast  to  accelerate  and  unemployment  rates  expected  to  fall  through  2015.      Sources:  IHS  Global  Insight  (April  2013);  Reuters,  03.28.13;  Sta:s:cs  Canada;  CBC,  04.05.13;  Dow  Jones  Global  News,  04.19.13;  US  Bureau  of  Labor  Sta:s:cs  7  UNITED  STATES  AVer  a  strong  finish  to  2012  and  a  bright  start  in  2013,  the  U.S.  labor  market  faltered  in  March  with  weak  job  crea:on  and  a  shrinking  labor  force.  Hiring  levels  are  expected  to  remain  modest  throughout  the  rest  of  the  year,  with  more  robust  job  growth  expected  in  2014  and  2015.  BRAZIL  Despite  the  recent  slowdown  in  the  economy,  demand  for  workers  in  Brazil  remains  strong  with  unemployment  con:nuing  to  reach  record  lows.  The  :ght  labor  market  is  driving  up  wages  and  spurring  fears  of  rising  infla:on.  CANADA  Canada  lost  more  than  25,000  jobs  on  net  in  the  first  quarter  of  2013,  a  surprising    dip  aVer  strong  job  growth  in  2012.  The  outlook  for  the  rest  of  2013  calls  for  subdued  hiring  in  the  face  of  a  sluggish  economic  climate.  MEXICO  Formal  job  crea:on  in  Mexico  slowed  somewhat  in  the  first  quarter  of  2013,  but  the  labor  market  is  expected  to  con:nue  to  generate  jobs  and  unemployment  is  forecast  to  gradually  decrease  over  the  medium  term.    8.1%  7.7%  7.3%  6.7%  5.5%   5.5%  5.3%   5.4%  7.3%  7.1%   7.0%   6.7%  4.9%  4.6%  4.3%   4.2%  3%  4%  5%  6%  7%  8%  9%  2012   2013  (e)   2014  (p)   2015  (p)  AVERAGE  ANNUAL  UNEMPLOYMENT  RATE  U.S.   Brazil   Canada   Mexico  Global Talent Market QuarterlyBACK TOTABLE OF CONTENTS
  • GLOBAL  LABOR  MARKET  UPDATE:  EMEA    Although  the  economic  situa=on  in  Europe  has  somewhat  stabilized,  employment  will  take  much  longer  to  recover  throughout  the  region.  Unemployment  rates  will  con=nue  to  rise  in  many  Eurozone  countries,  and  will  remain  elevated  in  many  others,  with  more  substan=al  improvements  not  expected  un=l  2015.  Germany  and  Russia  con=nue  to  outperform  other  regional  labor  markets.  Sources:  IHS  Global  Insight  (April  2013);  Bloomberg,  04.17.13;  Federal  State  Sta:s:cs  Service  (Russia);  Dow  Jones  Global  News,  03.28.13  8  GERMANY  Labor  market  condi:ons  remain  much  healthier  in  Germany  than  in  most  other  countries  in  Europe.  The  economy  con:nues  to  generate  jobs  and  the  unemployment  rate,  already  near  a  historic  low,  is  forecast  to  edge  even  lower  in  the  coming  years.  FRANCE  The  number  of  jobless  people  in  France  has  risen  every  month  for  nearly  two  years,  causing  unemployment  to  reach  a  16-­‐year  high  in  early  2013.  The  unemployment  rate  is  expected  to  climb  to  11%  later  in  2013,  as  the  weak  economy  and  :ght  fiscal  policies  con:nue  to  limit  job  crea:on.  UNITED  KINGDOM  The  cooler  economic  climate  is  finally  showing  its  effects  on  the  U.K.  labor  market,  aVer  a  surprisingly  resilient  performance  in  2012.    Unemployment  is  forecast  to  remain  elevated  in  2013  and  2014,  as  cau:ous  private  sector  hiring  is  not  expected  to  offset  con:nued  public  sector  job  losses.  RUSSIA  The  labor  market  is  holding  steady  despite  a  slowdown  in  economic  ac:vity  in  Russia.  The  unemployment  rate  rose  in  January,  but  then  dropped  in  February  and  March.  Moscow  and  St.  Petersburg  have  extremely  :ght  labor  markets,  with  the  unemployment  rate  in  both  ci:es  just  above  1%.  6.8%   6.8%   6.6%  6.3%  10.2%  10.9%   11.2%   11.1%  7.9%   7.9%   8.0%  7.5%  5.5%   5.4%   5.2%   5.0%  3%  4%  5%  6%  7%  8%  9%  10%  11%  12%  2012   2013  (e)   2014  (p)   2015  (p)  AVERAGE  ANNUAL  UNEMPLOYMENT  RATE  Germany   France   U.K.   Russia  Global Talent Market QuarterlyBACK TOTABLE OF CONTENTS
  • GLOBAL  LABOR  MARKET  UPDATE:  APAC    Although  some  APAC  labor  markets  are  s=ll  feeling  the  dampening  effects  of  an  uncertain  economic  environment,  hiring  levels  are  rela=vely  healthy  and  unemployment  rates  are  low  throughout  much  of  the  region.  Demand  for  workers  is  expected  to  con=nue  to  accelerate  as  the  global  economic  picture  brightens  and  export  levels  recover.      Sources:  IHS  Global  Insight  (April  2013);  Wall  Street  Journal,  03.15.13  and  04.11.13;  Staffing  Industry  Daily  News,  03.12.13;  India  Economic  Times,  04.09.13;  Reuters,  03.2813;  Bloomberg;    9  CHINA  Employers  in  China  con:nue  to  show  strengthening  hiring  inten:ons,  par:cularly  in  the  service  sector  and  for  experienced  workers.  Wage  increases  are  accelera:ng  along  with  the  growth  in  demand.  JAPAN  Although  the  Japanese  economy  is  recovering,  labor  market  improvements  are  lagging  somewhat.  S:ll,  the  jobs-­‐to-­‐applicants  ra:o  con:nues  to  rise  slowly,  sugges:ng  that  demand  for  workers  is  star:ng  to  grow.  INDIA  Hiring  prospects  are  improving  along  with  India’s  recovering  economy  in  2013,  although  job  demand  took  a  slight  seasonal  dip  in  March.  The  BPO  and  pharmaceu:cal  sectors  remain  among  the  leaders  in  hiring  ac:vity.    AUSTRALIA  Employment  trends  have  been  vola:le  in  early  2013,  with  a  gain  of  74,000  jobs  in  February  followed  by  a  drop  of  36,000  in  March.  The  labor  market  is  expected  to  con:nue  to  fluctuate  throughout  the  year  as  employers  gauge  the  health  of  the  economy,  before  improving  in  2014  and  beyond.  4.1%   4.1%   4.0%   3.9%  4.3%   4.4%   4.5%  4.6%  8.5%   8.4%  8.0%  7.7%  5.2%  5.6%   5.4%  4.9%  3%  4%  5%  6%  7%  8%  9%  2012   2013  (e)   2014  (p)   2015  (p)  AVERAGE  ANNUAL  UNEMPLOYMENT  RATE  China   Japan   India   Australia  Global Talent Market QuarterlyBACK TOTABLE OF CONTENTS9
  • GLOBAL  LABOR  MARKET  SPOTLIGHT:  HIGH-­‐SKILLED  IMMIGRATION    Source:  BBC,  03.26.13;  Europa  Based  on  data  for  30  countries:  24  OECD  countries  for  which  informa:on  was  available,  plus  Brazil,  India,  Russia,  Hong  Kong,  South  Africa,  and  Singapore.    10  HIGHLY-­‐SKILLED  MIGRANTS  IN  DEMAND  Over  200  million  people  in  the  world  are  interna:onal  migrants,  living  and  working  in  a  different  country  than  where  they  were  born.  Among  them,  highly-­‐skilled  migrants  are  minority,  but  are  becoming  increasingly  important  in  the  growing  climate  of  global  skills  shortages.  Many  developed  countries  ac:vely  encourage  immigra:on  of  high-­‐skilled  workers  in  areas  of  short  supply.  Australia  and  other  countries  use  a  points-­‐based  system  that  evaluates  would-­‐be  immigrants  based  on  their  skills  rela:ve  to  current  shortages.  Many  European  countries  have  adopted  the  EU  Blue  Card  direc:ve,  which  encourages  migra:on  of  highly  skilled  non-­‐EU  ci:zens.  The  U.S.  keeps  a  “Schedule  A”  list  of  shortage  occupa:ons  for  which  immigra:on  condi:ons  are  somewhat  eased.  KEY  AREAS:  HEALTHCARE,  ENGINEERING,  AND  IT    The  BBC  examined  official  immigra:on  quota  data  and  skills  shortage  lists  for  30  developed  countries,  and  found  that  healthcare,  engineering,  and  IT  professionals  are  the  most  sought  aVer.  Out  of  the  20  professions  that  are  in  top  demand  for  skilled  immigrants,  18  fall  into  one  of  these  three  categories.  And  New  Zealand  topped  the  list  of  countries  looking  for  skilled  immigrants,  with  its  official  list  containing  all  20  of  the  top  occupa:ons.  0   5   10   15   20  Chefs  Audiologists  &  Speech  Therapists  Radiographers  Psychologists  Physiotherapists  Mining  &  Petroleum  Engineers  Chemical  Engineers  Electronics  Engineers  Industrial  &  Produc:on  Engineers  Pharmacists  Den:sts  Accountants  IT  Database  &  Network  Professionals  Civil  Engineering  Professionals  IT  Engineers  &  Analysts  IT  Developers  &    Programmers  Electrical  Engineering  Professionals  Doctors  Mechanical  Engineers  Nurses  TOP  20  MOST  WANTED  PROFESSIONS  AMONG  IMMIGRANTS  #  of  countries  0  5  10  15  20  25  New  Zealand   Australia   Singapore   Ireland   UK   Sweden  COUNTRIES  WITH  HIGH  DEMAND    FOR  SKILLED  IMMIGRANTS  #  of  top  20  professions    wanted  Global Talent Market QuarterlyBACK TOTABLE OF CONTENTS
  • GLOBAL  LEGISLATIVE  UPDATE    Countries  con=nue  to  introduce  legisla=on  that  aWempt  to  address  the  challenges  that  arise  from  today’s  complex  labor  market  environment.        Regula=ons  regarding  immigra=on  are  also  a  significant  issue  affec=ng  labor  markets  in  many  countries.  Sources:  Mondaq,  041.15.13;  SIA  Daily  News,  03.19.13;  Lexology,  04.01.13  and  03.25.13;  SIA  Legs  and  Regs  Advisor,  January-­‐March  2013;  Global  Insight,  04.19.1;  SHRM,  04.16.13  11  U.K.  All  permanent  employees  with  at  least  26  weeks’  con:nuous  employment    and  all  employed  agency  workers  with  at  least  one  year’s  service  will  have  the  right  to  request  flexible  working  op:ons.  AUSTRALIA  Under  a  new  amendment  to  Australia’s  immigra:on  law,  employers  will  be  held  responsible  for  verifying  the  legal  status  of  new  and  exis:ng  employees.  Employers  could  face  penal:es  for  employing  a  person  who  does  not  have  a  valid  right  to  work  in  Australia.    JAPAN  Changes  to  the  Labor  Contract  Act  effec:ve  April  1,  2013  s:pulate  that  contract  workers  who  have  been  employed  for  five  con:nuous  years    and  who  ask  for    permanent  status  must  be  given  it.  The  amended  LCA  also  prohibits  having  unreasonable  differences  in  terms  and  condi:ons  of  employment  between  permanent  and  fixed  term  employees.    SWEDEN,  DENMARK  Sweden’s  new  regula:ons  brought  into  force  the  EU  Agency  Workers  Direc:ve  (AWD)  on  January  1,  2013,  while  Denmark  has  just  introduced  legisla:on  that  is  expected  to  usher  in  the  AWD  later  this  year.  The  AWD  creates  equal  treatment  standards  between  temporary  and  permanent  employees  regarding  working  condi:ons  and  pay,  and  was  intended  to  have  been  implemented  throughout  the  EU  by  the  end  of  2011.  U.S.  A  proposed  bill  would  expand  immigra:on  by  crea:ng  new  types  of  visas  for  both  high-­‐skilled  and  lower-­‐skilled  workers,  and  mandate  the  use  of  e-­‐Verify.  The  bill  is  expected  to  garner  much  debate  in  the  coming  months.  CANADA  The  government’s  new  Start-­‐Up  Visa  Program,  launched  in  January  2013,  is  aimed  at  afrac:ng  innova:ve  immigrant  entrepreneurs  to  Canada.  The  program  links  foreign  entrepreneurs  with  Canadian  private  sector  investors.  CHINA    Amendments  to  China’s  labor  contract  law  that    place  limits  on  the  use  of  temporary  agency  workers  come  into  effect  on  July  1,  2013.    MEXICO  New  mandatory  privacy  no:ce  guidelines  went  into  effect  in  April  2013.  Under  the  new  guidelines,  employers  and  others  that  collect,  process,  and/or  transfer  personal  data  must  furnish  extensive  data  privacy  no:ces  and  obtain  consent  before  personal  data  is  collected.    COLOMBIA    A  new  tax  reform  that  replaces  payroll  taxes  with  higher  income  tax  rates  is  expected  to  have  a  posi:ve  effect  on  formal  job  crea:on.  Global Talent Market QuarterlyBACK TOTABLE OF CONTENTS
  • U.S. Labor Market OverviewSECOND QUARTER l 2013
  • JOB  GROWTH  DIPS  AVer  several  months  of  strong  job  crea:on  in  late  2012  and  early  2013,  U.S.  employment  growth  stumbled  in  March.  Just  88,000  new  jobs  were  created  during  March,  driven  by  reduc:ons  in  retail  staff  and  a  decline  in  government  jobs.  Employment  gains  had  been  averaging  over  220,000  per  month  from  November  2012  to  February  2013.  UNEMPLOYMENT  RATE  FALLS,  ALONG  WITH  THE  LABOR  FORCE  The  unemployment  rate  con:nued  to  edge  down,  reaching  7.6%  in  March,  the  lowest  rate  seen  since  December  2008.  However,  the  decrease  in  March  was  largely  driven  by  nearly  a  half  million  people  leaving  the  labor  force.    Worryingly,  the  labor  force  par:cipa:on  rate—the  share  of  working-­‐age  Americans  who  are  either  employed  or  looking  for  work—con:nues  to  drop;  the  rate  now  stands  at  63.3%,  a  figure  not  seen  since  the  late  1970s.  U.S.  EMPLOYMENT  CONDITIONS    EMPLOYMENT  OVERVIEW  13  Source:  U.S  Bureau  of  Labor  Sta:s:cs  U.S.  MONTHLY  EMPLOYMENT  CHANGE  AND  UNEMPLOYMENT  RATE  6.0  7.0  8.0  9.0  10.0  0  100  200  300  400  Jan-­‐11  Feb-­‐11  Mar-­‐11  Apr-­‐11  May-­‐11  Jun-­‐11  Jul-­‐11  Aug-­‐11  Sep-­‐11  Oct-­‐11  Nov-­‐11  Dec-­‐11  Jan-­‐12  Feb-­‐12  Mar-­‐12  Apr-­‐12  May-­‐12  Jun-­‐12  Jul-­‐12  Aug-­‐12  Sep-­‐12  Oct-­‐12  Nov-­‐12  Dec-­‐12  Jan  13  Feb  13  Mar  13  Unemployment  Rate  (%)  Employment  (000s)  Total  non-­‐farm  employment  growth   Unemployment  rate  MAR   FEB   JAN   DEC   NOV  Total  non-­‐farm  employment  growth   88K   268K   148K   219K   247K  Private  sector  employment  growth   95K   254K   164K   224K   256K  Unemployment  rate   7.6%   7.7%   7.9%   7.8%   7.8%  LABOR  MARKET  ON  SHAKY  GROUND  The  broader  U.S.  economy  has  shown  some  signs  of  growth  recently,  with  encouraging  data  coming  from  the  housing  and  consumer  sectors.  But  the  effects  of  the  government’s  sequestra:on  cutbacks  on  the  U.S.  labor  market  have  yet  to  be  felt  or  determined.  This,  along  with  the  discouraging  slowdown  in  hiring  in  March  and  the  ongoing  erosion  of  the  labor  force,  suggest  that  the  condi:on  of  the  U.S.  job  market  is  s:ll  very  fragile.    Global Talent Market QuarterlyBACK TOTABLE OF CONTENTS
  • U.S.  LABOR  MARKET:  SUPPLY  AND  DEMAND    UNEVEN  SUPPLY  AND  DEMAND  TRENDS  Demand  for  jobs  in  the  U.S.  dipped  in  February  and  March,  aVer  reaching  a  peak  of  more  than  5.1  million  online  ads  in  January.  Overall,  the  number  of  online  job  ads  declined  by  nearly  77,000  in  the  first  quarter  of  2013,  the  first  quarterly  job  demand  decline  since  Q1  2009.  Uncertainty  surrounding  the  economic  and  poli:cal  situa:on  in  the  U.S.  likely  contributed  to  the  soVness  in  demand  for  new  workers.  Just  as  labor  demand  has  been  uneven  over  the  past  year,  the  differences  in  demand  for  workers  among  professions  remain  significant.  The  supply/demand  ra:o  (unemployed  workers  per  job  ad)  is  more  than  four  to  one  in  the  field  of  food  prepara:on  and  serving,  and  more  than  three  to  one  for  transporta:on  occupa:ons.  But  demand  for  workers  con:nues  to  outstrip  supply  in  professional  occupa:ons  including  IT,  healthcare,  business/finance,  and  engineering.  S:ll,  the  long-­‐term  trend  shows  that  the  worker  supply/  demand  gap  in  the  U.S.  con:nues  to  narrow.  The  number  of  unemployed  workers  now  exceeds  the  number  of  adver:sed  vacancies  by  less  than  7  million,  compared  to  around  12  million  during  the  recession.  And  the  supply/  demand  ra:o  is  now  2.4,  down  from  over  5  in  mid-­‐2009.                  “Labor  demand  has  been  up  and  down  for  the  last  six  months,  leaving  the  new  March  level  basically  the  same  as  it  was  in  September  2012.”    —    June  Shelp,  Vice  President,  The  Conference  Board,  April  3,  2013  14  U.S.  MARKET  -­‐  MONTHLY  LABOR  DEMAND  VS.  LABOR  SUPPLY  Sources:  Conference  Board  Help  Wanted  OnLine,  Bureau  of  Labor  Sta:s:cs  Unemployed  Workers  (in  thousands)  Online  Job  Ads    (in  thousands)  0  1000  2000  3000  4000  5000  6000  7000  8000  9000  10000  0  2000  4000  6000  8000  10000  12000  14000  16000  18000  Jan  09  Apr  09  Jul  09  Oct  09  Jan  10  Apr  10  Jul  10  Oct  10  Jan  11  Apr  11  Jul  11  Oct  11  Jan  12  Apr  12  Jul  12  Oct  12  Jan  13  #  of  Unemployed  Workers   #  of  Online  Job  Ads  Global Talent Market QuarterlyBACK TOTABLE OF CONTENTS
  • U.S.  LABOR  MARKET  SPOTLIGHT:  COLLEGE  ENROLLMENT  RATES    15   Sources:    BLS;  Wall  Street  Journal,  04.17.13  41%  FEWER  HIGH  SCHOOL  GRADUATES  GOING  TO  COLLEGE  The  college  enrollment  rate  —  the  share  of  recent  U.S.  high  school  graduates  that  enter  college  —  is  falling.    Of  the  students  who  graduated  high  school  in  2012,  only  66.2%  were  afending  a  college  or  university  in  that  same  year,  down  from  a  high  of  over  70%  in  2009.    Some  analysts  suggest  that  the  falling  enrollment  rates  may  be  an  indicator  of  an  improving  labor  market.  High  school  graduates  who  had  been  going  to  college  simply  because  jobs  were  scarce  may  now  be  finding  employment  instead,  par:cularly  in  industries  like  construc:on  and  manufacturing  that  were  hard-­‐hit  during  the  recession.  Indeed,  the  college  enrollment  rate  for  men  in  2012  was  61.3%,  an  all-­‐:me  low.      55%  60%  65%  70%  75%  80%  2007   2008   2009   2010   2011   2012  Recent  High  School  Graduates:  %  Enrolled  in  College    Total   Men   Women  NO  COLLEGE,  WORSE  JOB  PROSPECTS  But  the  data  also  show  that  high  school  graduates  who  don’t  go  to  college  may  not  be  faring  so  well  in  the  job  market.  Unemployment  rates  for  recent  graduates  who  are  not  in  college  have  remained  rela:vely  flat  since    2009.    Prior  to  the  recession,  the  unemployment  rate  for  recent  high  school  graduates  who  were  not  in  college  hovered  around  20%  to  25%.  Since  2009,  the  rate  has  exceeded  33%,  meaning  that  around  two-­‐thirds  of  high  school  graduates  who  didn’t  go  to  college  were  unable  to  find  jobs  that  same  year.  21%  25%  20%  27%  35%   33%   34%   34%  0%  10%  20%  30%  40%  50%  2005   2006   2007   2008   2009   2010   2011   2012  Recent  High  School  Graduates  Not  in  College:  Unemployment  Rate  Global Talent Market QuarterlyBACK TOTABLE OF CONTENTS
  • Workforce SolutionsIndustry InsightSECOND QUARTER l 2013
  • WORKER  MOBILITY  STRATEGIES    Worker  mobility,  once  seen  as  a  straighlorward  transfer  of  skills  from  one  geographic  area  to  another,  has  become  a  more  complex    and  complicated  concept.  Organiza=ons  are  approaching  global  mobility  in  a  more  strategic  and  innova=ve  way,  as  they  react  and  adapt  to  the  changing  business  environment,  the  diverse  needs  of  their  employees,  and  their  opera=onal  goals.  17  Source:  Global  Mobility  Effec:veness  Survey,  Ernst  &  Young,  2012;  Talent  Mobility  2020  and  Beyond,  PWC  23%  RIGHT  SKILLS,  RIGHT  PLACE,  RIGHT  TIME  Overseas  moves  may  have  less  than  ideal  outcomes:  research  from  Ernst  and  Young  shows  that  more  than  one  in  ten  interna:onal  assignees  leave  their  jobs  within  two  years  of  returning  to  their  home  countries.  New  and  innova:ve  ways  of  approaching  mobility  are  allowing  companies  to  make  the  process  more  beneficial  to  both  the  organiza:on  and  the  individual,  and  to  address  cri:cal  talent  and  business  needs  at  the  same  :me.    Current  mobility  trends  include  more  long-­‐distance  commu:ng  and  intra-­‐country  moves,  as  well  as  short-­‐term  or  “purposed-­‐based”  assignments.  Currently  20%  of  assignments  last  less  than  a  year,  compared  with  10%  in  2002,  according  to  research  by  PWC.  And  these  short-­‐term  assignments  are  predicted  to  increase  by  20%  in  the  next  several  years.    Short-­‐term/  Project-­‐based  Assignments  Intra-­‐country  Mobility  Rota:onal  Employee  Programs  Reverse  Transfers  from  Emerging  to  Developed  Markets  Long-­‐distance  Commu:ng  and  Extended  Business  Travel  Virtual  Mobility  Global  Nomads  with  No  “Home  Country”  MODERN  MOBILITY  SOLUTIONS  BUSINESS  NEEDS  ADDRESSED  BY  MOBILITY  STRATEGIES  Employee  development  and  reten=on   Business  development  and  strategy  •  The  need  to  develop  well-­‐rounded  leaders  of  the  future,  with  a  truly  interna:onal  perspec:ve.    •  The  need  to  offer  exci:ng  career  opportuni:es  to  the  best  talent  as  compe::on  to  afract  and  retain  the  best  intensifies.  •  The  recogni:on  that  an  organiza:on  can  benefit  from  a  two-­‐way  transfer  of  knowledge,  skills  and  experience.  •  The  recogni:on  that  in  an  increasingly  interna:onal  world,  key  roles  oVen  have  a  regional  or  global  perspec:ve.  Global Talent Market QuarterlyBACK TOTABLE OF CONTENTS
  • ARE  TALENT  INVESTMENTS  PAYING  OFF?    More  and  more  global  organiza=ons  are  realizing  that  human  capital  is  a  cri=cal  component  of  success  in  today’s  economy,  and  many  are  increasing  their  investments  in  talent  and  workforce  planning.  But  companies  are  less  certain  about  the  effec=veness  that  their  current  talent  efforts  are  having  on  their  business  results.  A  rigorous  and  systema=c  approach  to  workforce  planning  can  provide  numerous  benefits  in  helping  organiza=ons  reach  their  growth  objec=ves.  18  Source:  Mercer’s  Talent  Barometer  Survey,  March  2013  23%  WORKFORCE  PLANS  NEED  WORK  According  to  a  recent  Mercer  survey,  talent  investments  have  increased  for  most  companies  in  recent  years,  and  more  than  three  out  of  four  companies  said  they  have  a  plan  in  place  to  forecast  their  talent  needs.  But  those  planning  efforts  may  be  less  than  adequate.  Few  organiza:ons  are  taking  a  long-­‐term  look  at  their  talent  needs—less  than  one  in  eight  has  a  workforce  plan  that  extends  more  than  five  years.  And  the  majority  of  respondents  to  Mercer’s  study  felt  that  their  workforce  planning  efforts  were  only  somewhat  effec:ve.  A  forward-­‐looking  strategic  workforce  plan  can  iden:fy  cri:cal  jobs  and  possible  talent  gaps,  and  then  outline  strategies  for  mee:ng  human  capital  requirements.  Making  talent  a  strategic  impera:ve  can  help  companies  determine  the  most  effec:ve  prac:ces  and  policies  going  forward.      “Employers  need  to  apply  the  same  level  of  rigor  and  analysis  to  their  strategic  talent  plans  as  they  do  any  other  area  of  compe::ve  business  advantage.  By  viewing  HR  programs  and  prac:ces  though  this  strategic  lens,  organiza:ons  can  focus  on  those  efforts  that  drive  posi:ve  and  measureable  results.”  ―  Orlando  Ashford,  President  of  Mercer’s  Talent  business    Increased,  60%  Stayed  the  same,  29%  Decreased,  11%  Talent  investment  in  recent  years  Next  year,  31%  Next  2-­‐3  years,  34%  Next  5+  years  ,  12%  No  workforce  plan,  23%  Dura=on  over  which  current  workforce  plans  forecast  talent  needs  14%   62%   22%   2%  Effec=veness  of  current  workforce  plan  in  mee=ng    immediate  and  long-­‐term  talent  needs  Not  effec:ve   Somewhat  effec:ve   Very  effec:ve   Extremely  effec:ve  Global Talent Market QuarterlyBACK TOTABLE OF CONTENTS
  • STATEMENT  OF  WORK  MANAGEMENT        As  free  agent  and  other  project-­‐based  workers  become  a  more  prevalent  and  more  strategic  part  of  an  organiza=on’s  workforce,  companies  are  seeking  to  improve  visibility  and  management  across  all  talent  categories.  Given  the  poten=al  efficiencies,  integra=ng  statement  of  work  (SOW)  ac=vity  within  exis=ng  managed  services  programs  is  a  natural  next  step.    19  Sources:  SOW:  A  Global  Trend?  SIA,  February  2013;  Staffing  Industry  Analysts  VMS/MSP  Landscape  Reports,  2010-­‐2012;  Staffing  Industry  Analysts  Con:ngent  Buyers  Survey  2011-­‐2012  23%  SOW  MANAGEMENT  IS  A  GROWING  TREND  Organiza:ons  are  expanding  their  successful  con:ngent  management  programs  to  cover  other  categories  of  employees,  par:cularly  statement  of  work  (SOW)  .  SOW  spending  under  managed  services  programs  more  than  doubled  from  2009  to  2011,  according  to  Staffing  Industry  Analysts.  North  America  is  the  key  region  for  SOW  management,  but  interest  and  adop:on  are  growing  worldwide.  SIA  reports  that  in  India,  Japan,  and  China  more  than  80%  of  MSP  spend  is  on  SOW  employees.  And  in  Europe,  more  than  half  of  staffing  buyers  say  they  are  seriously  thinking  about  incorpora:ng  SOW  employees  into  their  con:ngent  worker  management  programs.  SOW  management  programs  are  also  moving  beyond  just  invoicing  and  milestone  tracking  to  encompass  more  value-­‐added  func:ons  including  worker,  contract,  and  supplier  management.      53%  29%  31%   52%  North  America   Europe  Likely  to  Explore  within  2  Years  Current  usage  Incorpora=ng  SOW  into  Con=ngent  Worker  Management  Programs  $0  $10  $20  $30  $40  $50  $60  $70  2009   2010   2011  Managed  Services  Providers:  Spend  Under  Management    by  Worker  Type  Temporary/  Contract   SOW   Outsourced  $B  US  SOW  Management  Program  Offerings  Providing  invoicing  and  bill  pay  services   90%  Tracking  milestones  and  deliverables   88%  On-­‐  and  off-­‐boarding  SOW  workers   64%  Managing  contracts  for  SOW  workers   55%  Nego:a:ng  contract  terms  and  pricing  for  SOW  services  48%  Shortlis:ng  suppliers  for  SOW  services   46%  Reviewing  and  scoring  RFP  response  bids  for  SOW  services  40%  DraVing  contracts  and  SOWs  for  services   39%  Crea:ng  RFPs/SOWs  on  behalf  of  client   29%  Iden:fy/source  qualified  SOW  suppliers   24%  Global Talent Market QuarterlyBACK TOTABLE OF CONTENTS
  • Kelly  offers  a  complete  library  of  white  papers,  reports,  case  studies,  and  webcasts  that  advance  the  discussion  and  thinking  around  current  trends,  strategies,  and  issues  impac=ng  global  talent  management.        To  register  for  webcasts  or  for  more  informa:on,  visit  www.kellyocg.com  TITLE   PRESENTED  BY:   DESCRIPTION  Mapping  the  Value  of  Talent  Acquisi=on      Jillyan  French-­‐Vitet,  Global  Director,  Workforce  Strategy  Support  and  Talent  Resourcing,  Kelly  Outsourcing  and  Consul:ng  Group  This  e-­‐book  outlines  a  new  kind  of  value  mapping  that  centers  around  talent  acquisi:on,  illustra:ng  how  and  why  talent  acquisi:on  contributes  to  the  overall  worth  of  organiza:ons.  Help  Them  Grow  or  Watch  Them  Go  -­‐  The  Career  Development  Impera=ve  Jason  S.  Morga,  Senior  Director,  Americas  Marke:ng,  Kelly  Services  Dr.  Beverly  Kaye,  Founder,  Career  Systems  Interna:onal  Study  aVer  study  confirms  that  career  development  is  the  single  greatest  tool  managers  have  for  driving  reten:on,  produc:vity,  engagement,  and  results.  Nevertheless,  it  frequently  gets  sidelined  in  the  course  of  everyday  business.  This  webinar  explores  the  power  of  simple  conversa:ons  in  the  career  development  process.  Into  the  Jaws  of  the  Snake  Rolf  E.  Kleiner,  SVP  and  Chief  Innova:on  Officer,  Kelly  Services  Read  this  white  paper  to  learn  more  about  how  a  cri:cal  decoupling  of  job  crea:on  from  produc:vity  has  occurred,  and  the  major  repercussions  this  phenomenon  has  created  for  economies  and  workforces  the  world  over.  Big  Data,  Big  Deal  John  Healy,  VP  &  Talent  Supply  Chain  Strategist,  Kelly  Services  Rob  Sentz,  VP  Marke:ng,  EMSI  Jamie  Womack,  VP  Corporate  Marke:ng  &  Branding,  CareerBuilder  View  this  webcast  to  learn  about  Talent  Market  Analyst,  a  data  analy:cs  tool  developed  by  Kelly  Services  and  Economic  Modeling  Specialists  Intl.  (EMSI),  a  CareerBuilder  company.  The  Talent  Market  Analyst  is  an  innova:ve  workforce  planning  tool,  featuring  key  insights  and  data  to  support  both  long-­‐term  strategic  planning  and  short-­‐term  sourcing  ac:vi:es.    20  KELLY  KNOWLEDGE    Global Talent Market QuarterlyBACK TOTABLE OF CONTENTS
  • About Kelly Services®Kelly Services, Inc. (NASDAQ: KELYA, KELYB) is a leader in providing workforce solutions.Kelly®offers a comprehensive array of outsourcing and consulting services as well asworld-class staffing on a temporary, temporary-to-hire and direct-hire basis. Serving clientsaround the globe, Kelly provides employment to more than 560,000 employees annually.Revenue in 2012 was $5.5 billion. Visit kellyservices.com and connect with us on Facebook,LinkedIn, & Twitter. Click to download The Talent Project, our free iPad app.A Kelly Services ReportAll trademarks are property of their respective owners. An Equal Opportunity Employer © 2013 Kelly Services, Inc. Y0722kellyservices.com