Monster Employment Index Europe Rises Slightly in December

- UK Registers Sharpest Growth in Online Job Availability, Indicating Greater Number of Opportunities in Retail; Banking and Finance Sectors

- Only Germany Shows Slight Decline in Online Recruitment Activity, Continuing a Two-month Downward Trend for Europe’s Largest Economy

The Monster Employment Index Europe increased slightly in December 2005, climbing one point from a level of 111 in November back to its all-time high of 112. Since its inception in December 2004, the Index has maintained a generally upward growth trend, rising 29 points year-over-year and demonstrating a steady growth of online job availability across the five European countries it tracks. The UK registered the highest rate of increase in online job availability during the month, rising ten points, whilst Germany was the only country to see a slight decline in demand, easing back two points.

With a year of data collected, and in keeping with best research practices, Monster Worldwide has officially re-scaled the Monster Employment Index Europe using the average of the first twelve months of data (from December 2004 to November 2005) as a new baseline. The newly re-scaled monthly historical numbers continue to accurately reflect the up and down movements over the past year, and will serve as the Index’s basis of measurement moving forward.

At the end of 2005, all of the countries tracked by the Index showed strong year-on-year growth in online recruitment activity, suggesting slow but steady improvement in their respective labour markets. The potential for building on this positive momentum looks strong, as the Organisation for Economic Cooperation and Development (OECD) predicts growth of 2.1 percent in 2006, said Peter Dolphin, CEO, Monster Worldwide Europe. According to a recent report from the European Commission, domestic demand is strengthening, with a marked recovery in business confidence contributing to strong acceleration in investment growth. Analysts also predict that exports, which enjoyed strong growth in 2005 due to a declining Euro and favourable interest rates, will continue to spur growth in 2006. The majority of governments across Europe are putting strong policies in place to boost employment this year, and hopefully these measures will contribute to the reduction in unemployment across the Eurozone, which is currently forecast to fall by one to nine percent, according to statements made by the European Commission.

Online Job Availability Rises in Four of Five Countries in December

As hiring activity typically slows down during the final month of the year, it is encouraging to see that online recruitment activity was relatively strong across most of the five countries in December. The labour market prospects for all the countries tracked by the Index look optimistic, even for Germany, despite the Index showing a slight easing back in hiring activity in that country over the past two months. In fact, growth in Europe’s largest economy is set to exceed forecasts in 2006 according to the German Institute for Economic Research (IFO), which is obviously good news for the rest of Europe, said Kai Deininger, Head of Marketing Communications, Monster Europe.

Index Shows Growth in Online Demand for Majority of Occupations in December, Led by Increased Opportunities for White Collar Workers

Five of nine occupational categories tracked by the Index showed increased online job demand in December, as companies continued to hire workers in a number of industries. Online job opportunities for legislators, senior officials and managers saw the strongest rate of growth across most of the countries, with the exception of Germany.

The number of online offers for plant and machine operators also showed strong growth last month, following a considerable decline in November. Online demand for manufacturing and production workers rose in all countries, with the most significant rise measured in the UK, where the volume of online opportunities nearly doubled for those working in the manufacturing and construction sectors. This trend is consistent with the strong growth in exports and investment that Europe has seen over the past few months.

Demand for professionals also grew in all five countries, ending a two-month period of flatness. The most significant growth in online job availability for professionals was measured in Germany and Sweden. Online opportunities for professionals in the banking, finance and insurance sectors grew across Europe, with significant increases seen in the UK and Sweden.

Following a four-month flat period, demand for service and shop workers rose three points in December, suggesting greater online job availability for retail shop positions and workers in the hospitality and tourism sector to meet demand during the winter travel season. The UK saw the sharpest increase in demand for service and shop workers during December, while the number of opportunities in Germany and Sweden declined.

In December, overall online job demand for clerks registered the strongest rate of increase since the inception of the Index, with the sharpest growth seen in France. Following a small decline in the number of online vacancies in November, demand for clerks increased in nearly every country, except Germany.

While three of the five countries exhibited higher demand for technicians during the past month, aggregated demand across Europe remained flat overall, due to declines reported in both Germany and France.

Online recruitment for elementary occupations continued a five-month downward trend, due in part to a significant, prolonged decline in demand in Germany. The craft and related workers category also continued to show weakness in overall online job availability, with the number of offers decreasing for the third consecutive month. The number of online positions for skilled agricultural and fishery workers also fell, likely due to a seasonal slowdown in hiring across the agricultural industry.

Online Job Demand in France Shows Solid Rise in December

Online job recruitment activity across France increased two points last month from 110 in November to 112 in December, indicating solid growth in overall online demand for workers. Over the past 12 months, the Index for France has risen 28 points, demonstrating improved levels of online recruitment activity across a range of industries since December of last year.

During December, five of nine occupational categories tracked by the Index rose significantly. The sharpest rise was registered for clerks, mostly due to a greater number of opportunities for data-processing staff, as well as higher demand within the sales, HR, marketing and PR sectors. The craft and related workers category also registered a significant increase in online job availability, driven by greater demand for workers in the production and manufacturing sectors. This is in-line with recent figures from the National Institute for Statistics and Economic Studies (INSEE), which revealed that expenditure on manufactured goods rose by 1.1 percent in October.

Online Job Availability in Germany Declines Slightly in December

During the past month, online recruitment activity declined slightly in Germany, easing downward for the second consecutive month. The Index dipped two points from 111 in November to 109 in December. Despite the downward trend, Germany has exhibited a more consistent upward growth trend over the past twelve months than the other four countries, registering monthly increases over the first 10 months of 2005. Seven of nine occupational categories tracked by the Index registered declines of varying degrees during December. Occupations that registered the sharpest declines during the month include legislators, senior officials, and managers; skilled agricultural and fishery workers; and technicians.

Online Job Demand in the Netherlands Jumps in December

Online job demand in the Netherlands rose sharply in December, driving the local country Index to its highest level ever. Nearly all of the occupational categories tracked by the Index registered increased online job availability with the exception of the skilled agricultural and fishery workers category. Accounting, audit and consultancy were among the industry sectors showing the strongest rise in online hiring activity, as companies ramped up their internal resources to complete their year-end reporting. Other sectors that registered solid gains include construction; IT; and sales, marketing and PR. Overall, the Netherlands ended 2005 on a very strong note, showing encouraging signs of economic growth and indicating a far more dynamic labour market than at the beginning of the year.

Online Recruitment Activity in Sweden Rises Sharply in December

Online job availability in Sweden surged during the last month of 2005, jumping eight points from 108 in November to 118 in December. Seven of nine occupational categories showed increased online job demand, with legislators, senior officials and managers; professionals; and technicians all registering strong growth. Demand in the education; training; public services; and administration sectors also saw continued growth, while opportunities for shop workers and elementary workers declined sharply. The Swedish labour market had shown strong momentum in 2005, with figures from Statistics Sweden showing more than 102,000 people employed at the end of last year compared to November 2004. The outlook for 2006 looks very strong according to the Organisation for Economic Co-operation and Development, which estimates economic growth of 3.5 percent for the country in 2006.

Online Hiring in the UK Soars in December

Online recruitment activity across the UK increased significantly, as the Index jumped 10 points from a level of 108 in November to 118 in December. The growth in overall online job availability was driven in part by increased demand for white collar professionals in the banking and finance sector. During the month, nearly all occupational categories showed greater online job availability with the exception of the craft workers category. Demand for service and shop workers saw the strongest increase, surging 16 points, with a noticeable rise in the number of online opportunities for chefs, bar and banquet workers. Online opportunities for travel agents and other workers in the hospitality and tourism sector also spiked, as businesses began to staff up for the winter travel season.