ifo Employment Barometer Rises (March 2023)

German companies are once again willing to hire more staff. The ifo Employment Barometer rose to 99.9 points in March, up from 99.4 points in February. “The labor market is proving very robust,” says Klaus Wohlrabe, Head of Surveys at ifo. “Service providers in particular are looking for new employees.”

In manufacturing, the Employment Barometer rose again following a small drop in the previous month. Nevertheless, there is as yet no evidence on the labor market of major momentum across all industries. Energy-intensive areas such as the chemical industry remain very reluctant to hire new staff. There is increased hiring in the service sector. Employment growth remains cautious in trade. This is due in part to consumers’ reluctance to spend. In construction, plans for layoffs and hires remain more or less in balance.

Infographic, ifo Employment Barometer, March 2023

Infographic, ifo Employment Barometer by Sector, March 2023

ifo Employment Barometer Germany

(Index, 2015 = 100, seasonally adjusted)

	03/22	04/22	05/22	06/22	07/22	08/22	09/22	10/22	11/22	12/22	01/23	02/23	03/23
Barometer	102.1	102.7	103.9	103.2	101.1	100.9	99.6	97.9	99.6	99.6	100.1	99.4	99.9

Source: ifo Business Survey.
© ifo Institute

ifo Employment Barometer by Sector

(Balances, seasonally adjusted)

	03/22	04/22	05/22	06/22	07/22	08/22	09/22	10/22	11/22	12/22	01/23	02/23	03/23
Manufacturing	10.7	6.8	11.5	10.0	8.0	4.6	2.3	-0.3	1.5	1.5	3.9	1.5	2.7
Service Sector	13.3	17.1	19.9	18.3	12.5	13.7	10.4	5.0	10.7	9.7	10.0	8.5	10.3
Trade	3.3	4.2	2.4	2.3	-2.0	-3.9	-5.0	-5.0	-5.6	-1.5	-0.5	1.2	-1.7
Construction	4.1	3.0	5.0	1.5	0.7	3.5	-1.7	0.1	2.4	-0.5	2.7	-1.1	1.4