Increasing number of freelancers under 30 in the Netherlands, while numbers in Belgium are declining

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Older freelancers lead the market in Europe

In the European Union (EU-27), nearly one in three freelancers is 55 years or older (31.7 percent), making this group more than three times larger than those under 30. Countries such as Sweden (55.1 percent), Germany (47.5 percent), and Ireland (46.9 percent) have exceptionally high percentages of freelancers aged 55 and above. Geert-Jan Waasdorp, founder and director of Intelligence Group, explains:

“In these countries, where traditional full-time jobs are often associated with high status, freelancing can be a final career step or a way to make room for a new generation. This trend is partly driven by an aging population, but cultural factors also play a role.”

In the last decade, freelancers aged 55 and above have increased by 1.4 percent per year, while the growth rate for those under 30 has been slightly faster in the last five years, at 1.7 percent annually. However, the growth in the Netherlands has been slower than average, at just 0.7 percent. In Belgium, the number of young freelancers dropped sharply by 3.8 percent during this period, and similar declines were observed in countries like Bulgaria, Estonia, Latvia, and Slovenia, where the number fell by more than 6 percent. Malta has the highest proportion of young freelancers (14.7 percent), followed by Slovakia, Lithuania, Iceland, and the Netherlands (12.7 percent). Even with these increases, young freelancers still represent a relatively small part of Europe’s workforce.

Stable freelance market across Europe

Currently, Europe has around twenty million freelancers, making up 8.8 percent of the total workforce. While the freelance sector in the Netherlands has grown steadily by at least 1.4 percent annually, the overall percentage of freelancers across Europe has remained primarily unchanged. Countries such as Hungary and Switzerland have shown significant growth, whereas others, like Romania and Germany, have seen a reduction in freelancer numbers. Greece tops the list with the highest share of freelancers, accounting for nearly 18 percent of its workforce, while Norway has the lowest share, at just 3.8 percent. These differences stem from cultural attitudes towards self-employment and tax policies that encourage entrepreneurship in certain regions.

Marion van Happen, CEO of HeadFirst Group, notes:

“These statistics highlight the distinctive position of the Dutch labor market in Europe. This information is valuable for international employers looking to tailor their recruitment strategies and for freelancers who want to understand better the unique characteristics of freelancing in the Netherlands. It also provides policymakers with a broader view of European labor trends, particularly as they relate to freelance regulations.”

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Why Millions of Addicts and Prisoners Threaten the U.S. Labor Market

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Ageing populations, declining birth rates across the Western world, and a significantly changing labour market. Yes, we’re all aware of it. It’s been looming for years, after all. But do we realize the enormous impact? Recent political developments across much of Europe suggest otherwise. If migration doors are completely shut, as some parties advocate, the global workforce — except in Africa and the Middle East — will shrink drastically over the coming decades, with significant consequences.

Infographic: The State of Global Fertility | Statista

The same is true in the United States, according to a Bloomberg report based on a study by Lightcast on the U.S. labour market. If nothing changes, the U.S. will face a shortage of 6 million workers over the next ten years, according to the report. This isn’t just due to many people retiring but also mismatches and a steep decline in labour participation among men. This is partly because of demographic developments but also due to drug use and the high number of incarcerated American men.

More consumers than producers

“A storm is coming; are you ready for it?” asks Lightcast economist Ron Hetrick in response to the report. “In the next 5 to 7 years, the growth of our labour pool will not keep pace with that of our population. We’ll increasingly have more consumers than producers, leading to price increases and product shortages.” According to the report, older workers are no longer the driving force behind job growth in the U.S., as in the 20 years before the pandemic. Of the 5 million workers who have left the labour force since 2020, about 4 out of 5 were over 55. Working longer? In practice, that’s hardly the case in the U.S., the researchers say.

By 2027, the number of Americans turning 65 will, for the first time, be more significant than those celebrating their 16th birthday. This means not enough newcomers are entering the labour market to replace retirees. Another risk is the imbalance and mismatch between available workers and the jobs in demand. The U.S. workforce is becoming more educated and female, according to Lightcast. However, this supply does not match demand in sectors such as healthcare and construction and in jobs like plumbers or mechanics, where more than 90% of the workforce is still male.

4.6 million due to drugs or imprisonment

An equally concerning finding from the researchers is that many men in the prime working age group are unable to participate in the labour market due to an increase in drug abuse and incarceration. Addicts and prisoners together account for the disappearance of a staggering 4.6 million (!) Americans from the workforce. And this is happening at a time when there are more and more vacancies in “critical, male-dominated skilled-trade jobs.” At the same time, the number of unemployed Americans not looking for work has risen from 95 to 100 million since the pandemic.

Alcohol abuse in the U.S. is estimated to result in 232 million missed workdays, equivalent to 112,000 full-time workers being absent for an entire year.

In addition, according to Lightcast, 232 million workdays are missed due to alcohol abuse, which is equivalent to 112,000 full-time workers being absent for an entire year. The researchers believe that labor migration is, therefore, crucial to help offset some of the shortage of U.S.-born older men. Some industries are already struggling to function without it. According to Lightcast, 18% of healthcare workers are now from outside the U.S., including 1 in 4 doctors and 1 in 5 registered nurses.

Shortage of prison guards

The situation in Europe is similar to that in the U.S.. However, the number of addicts and prisoners is much lower here. Eurostat says almost half a million people are behind bars in the EU. That’s just over 100 prisoners per 100,000 inhabitants. The number of prisoners in the Netherlands has decreased since the pandemic, and the country is relatively low on the European list. The fact that we often hear about an overcrowding problem in Dutch prisons is not due to a lack of cells or an excess of inmates but rather… a shortage of prison guards.

Read the full Lightcast report on the U.S. labour market, including an analysis of Japan’s situation and lessons we can learn from it:

Lightcast Report

addicts and prisoners

Trouble in Europe’s Engine Room: 6 Signs of Germany’s Economic Struggle

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  1. Industrial Struggles: The Purchasing Managers’ Index (PMI) for manufacturing stands at a worrying 42.4, well below the 50-point growth threshold, signalling contraction in this crucial sector.
  2. Labor Market Paradox: While 28.5% of businesses still cite staff shortages as their primary constraint (a figure above pre-pandemic levels), overall labour market trends are shifting.
  3. Rising Unemployment: Despite persistent skill shortages in some areas, unemployment is rising, suggesting a growing mismatch between available skills and market demands.
  4. Declining Job Vacancies: The number of job openings decreases rapidly, indicating growing caution among employers and a cooling labour market.
  5. Consumer Confidence Conundrum: Despite reports of increased purchasing power, consumer confidence remains stubbornly low, hinting at more profound economic anxieties.
  6. Weak Business Climate: Entrepreneur optimism is in short supply, with the overall business climate scoring poorly, potentially leading to reduced investments and slower growth.

These interconnected factors create a challenging economic landscape for Germany. The industrial slowdown and the paradoxical situation in the labour market paint a complex picture of an economy in transition. Despite ongoing labour shortages in some sectors, rising unemployment and declining job vacancies suggest a mismatch between available skills and market demands.

Given Germany’s central role in the European economy, the implications of these issues extend beyond its borders. The coming months will be crucial in determining whether Germany can address these challenges and regain its economic momentum.

The “Arbeitsmarkt in Zahlen Deutschland” report provides more detailed figures on the German economy and labour market. As the situation evolves, these six indicators will be key in monitoring Germany’s economic trajectory.

6 Differences Between Men and Women in Job Interviews

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What was once a black box is becoming increasingly transparent. Where job interviews used to be a somewhat mysterious swamp or a ‘muddy pool of misinformation‘, there is growing interest in what happens in these interactions with candidates. With the help of AI and many conversation transcripts, a lot of interview intelligence is gathered around this process. For example, in the Netherlands, In2Dialog and Cammio are working on this, while in the U.S., BrightHire and Pillar are making significant strides. What does this yield? Among other things, these six insights into the differences between men and women:

#1. Women receive more questions and less time

As a female candidate, you receive an average of 20% more questions during an interview. At the same time, you are given 25% less time to answer these questions. This is especially true of male interviewers, according to Pillar CEO Mark Simpson, after analyzing over 1,000,000 job interviews. ‘This is a signal that male interviewers generally think that women need more time to prove their worth.’

#2. Women need to prove themselves more

Not only do women receive more questions, but they are also asked more frequently about their strengths (in 45% of the interviews compared to 33% for men), weaknesses (40% versus 31%), and failures (24% versus 18%). Additionally, women are more often asked why the organization should hire them (47% compared to 37%) and why they want the job (46% compared to 35%).

Women are more frequently asked why the organization should hire them and why they want the job.

‘Although these questions are not inherently negative, they focus on proving one’s value. The fact that men encounter these questions less often suggests that some interviewers view men as more capable,’ says Simpson. ‘Structured interviewing, where each candidate receives a similar set of questions focused on the skills required for the position, reduces the frequency of questions demonstrating one’s value by 42%.

#3. Women find it harder to discuss salary

Pillar’s analysis also examines how specific candidates react to different topics brought up during an interview. For example, it shows whether a candidate reacts positively or negatively. It turns out that women, in particular, experience discomfort when the topic of ‘compensation’ comes up.

Women experience increased discomfort when the topic of ‘compensation’ arises.

It’s hardly surprising—research has shown this before—but women exhibit measurable discomfort here, something pointed to as a significant explanation for the persistent pay gap. To address this, Simpson advises interviewers to ‘explain your company’s compensation structure and how it aligns with industry standards and internal policies. Encourage the candidate to ask questions about the compensation package and thoroughly address any concerns. Generally, this topic requires a thoughtful and respectful approach.’

#4. Men talk more to each other (about sports)

Perhaps not a huge surprise, but Pillar’s research shows that female candidates receive significantly less small talk and chit-chat during their interviews. Male interviewers and candidates, on the other hand, are more likely to find common ground through discussions about sports. ‘But this can lead to biases about how much you like someone (and how much you like their answers),’ warns Simpson.

‘Talking about sports can lead to biases.’

Men spend 32% more time on small talk when interviewing other men. In conversations with female candidates, however, such topics rarely come up. ‘While a bit of chit-chat is important for building a good rapport, inconsistent interview behaviour arises because interviewers do not behave the same way during interviews with men and women. A simple solution for this is to limit personal small talk,’ says the Pillar CEO.

#5. Candidates prefer a female interviewer

After interviews, female candidates report having had a better experience when interviewed by a woman. Sentiment scores, which measure the candidate’s experience, are typically 18% higher with female interviewers. Female interviewers also tend to ask more about ‘soft skills’, such as teamwork, communication, and conflict resolution. These questions appear 24% more frequently in conversations among women than with male interviewers.

Soft skills appear 24% more frequently in conversations among women than in conversations with male interviewers.

‘Although all candidates should have women interview women and men interview men, we recommend using a diverse panel,’ advises Simpson. ‘A diverse interview panel is much less likely to have biases than a single person or a team of “similar” people.’

#6. Women have longer conversations

This might also seem slightly noticeable, but it is certainly not necessarily bad, says Simpson. When women interview other women, the conversations tend to last 10 to 15% longer than when men conduct the interview. Simpson: ‘As long as the candidate has enough time to shine, this is not a problem.’

On average, candidates speak only 62% of the time, much less than the ideal 75%.’

Earlier, he showed that the ideal job interview (not a screening interview) lasts between 45 and 60 minutes. He says it is good if the candidate speaks 75% of the time. ‘Generally, interviewers talk too much. In all interviews on Pillar, we see that candidates speak only 62% of the time.’ According to him, this provides insufficient time for a thorough assessment of the candidate’s abilities, skills, and overall fit for the role. Although women do tend to have slightly more time for this than men…

Want to know more?

Do you want More Talent Intelligence? At the end of September, we will discuss this further during the second edition of Global Talent Intelligence. Buy your tickets here, or contact us for information on group tickets.

GTIC

Entwicklungen auf dem deutschen Arbeitsmarkt: Entspannung bei Engpässen und Wirtschaftswachstum in Sicht

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Zusätzlich zu unserer niederländischen Seite “Arbeidsmarkt in Cijfers” bieten wir auch eine deutsche Version an: “Arbeitsmarkt in Zahlen Deutschland“. Diese Seite bietet einen detaillierten Überblick über die aktuelle Situation und die neuesten Entwicklungen auf dem deutschen Arbeitsmarkt. Dies ist besonders wichtig aufgrund der engen wirtschaftlichen Beziehungen zwischen den Niederlanden und Deutschland. Obwohl sich die Zeiten geändert haben und die Auswirkungen nicht mehr so direkt spürbar sind wie früher, bleibt Deutschland unser größter Handelspartner und eine entscheidende Wirtschaftsmacht innerhalb Europas und weltweit.

Aktuelle Lage auf dem deutschen Arbeitsmarkt

Der Arbeitskräftemangel auf dem deutschen Arbeitsmarkt ist nach wie vor signifikant, aber er nimmt (derzeit/temporär aufgrund wirtschaftlicher Unsicherheiten?) etwas ab. Im zweiten Quartal dieses Jahres gaben etwas über drei von zehn Unternehmen an, durch einen Personalmangel behindert zu sein. Der Trend ist deutlich rückläufig; der Prozentsatz liegt nun deutlich unter dem Höchststand im Sommer 2022 (44,5%), aber immer noch über dem Durchschnitt der letzten zehn Jahre (22,9%).

Angebot und Nachfrage auf dem Arbeitsmarkt

Auf der Nachfrageseite des Arbeitsmarktes zeigt sich ein ähnliches Bild bei der Entwicklung der Zahl der offenen Stellen. Der Trend geht nach unten, aber die Anzahl der offenen Stellen ist immer noch relativ hoch. Auf der Angebotsseite steigt die Arbeitslosigkeit langsam. Kurz gesagt, gibt es (derzeit) etwas weniger Enge/Angespanntheit auf dem Arbeitsmarkt.

Wirtschaftsausblick für Deutschland

Wirtschaftlich betrachtet ist es eine Zeit des ”Sich-Durchschlagens”. Die deutsche Industrie hat es schwer, und aufgrund ihrer Größe hat sie erhebliche Auswirkungen auf die Gesamtwirtschaft. Dennoch ist der Ausblick etwas optimistischer. Die Geschäftsstimmung verbessert sich, wie durch den Anstieg des ifo Geschäftsklimaindex in den letzten Monaten belegt wird. Der Einkaufsmanagerindex für die Industrie (EMI) stieg im Mai um fast drei Punkte auf 45,4. Obwohl dies eine rückläufige Industrieproduktion indiziert (ein Wert von 50 wird als neutral angesehen), zeigt der Index einen aufwärtsgerichteten Trend.

Auch das Verbrauchervertrauen steigt, auch wenn mit einem Wert von -9,8 noch kein Grund zur Freude besteht. Das Ifo Institut erwartet, dass die Wirtschaft später in diesem Jahr an Fahrt aufnehmen wird. Ein Wachstum von 1,5 % wird für das Jahr 2025 erwartet.

Für weitere Zahlen zur deutschen Wirtschaft und zum Arbeitsmarkt siehe “Arbeitsmarkt in Zahlen Deutschland“.

 

 

 

 

 

 

Why 94% of business leaders think twice before hiring Gen Z grads?

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Unveiling the hiring dilemma of Gen Z

According to a recent survey conducted by Intelligent.com under 1.243 business leaders, 40% of them are not so sure about how prepared graduates from college are for the demands of today’s working world.  Some have expressed this doubt based on a lack in their work ethics or communication abilities as main detriments while others blame it on more deeply-rooted problems within organizational cultures. The outcomes reveal an intricate problem encountered by recruitment leaders who must adjust to changing conditions when acquiring new talents.

One particular reason that is frequently mentioned for this unpreparedness can be found in the culture of organizations. Business leaders are good aware of the fact that many organizations and workplace dynamics can not match with what incoming talent expects or hopes for. This can be about salary, flexibility, working hours, and responsibilities. But, it’s not all about colleagues and workplaces. There are also concern about parental influence, educational patterns, and problems caused by COVID-19. This just goes to show how complex this problem is.

Addressing skill gaps and salary expectations

The survey clearly shows big gaps with recent graduates, based on Work ethic, communication, and technology are top of the list. In addition to this, a staggering 57% of business leaders remember moments when recent grads asked for excessive salaries which created more difficulties for their integration into the workforce. A 100K US dollars start salary was not an exception. It also forces the recruiters to second-guess if they want to hire new workers. They have a responsibility to help fill these gaps and handle hopes from job seekers well.

Insights from the Trenches – A Futurist’s Perspective

Diane Gayeski gives a thoughtful point of view about how the modern workplace is changing and how it impacts age groups. She questions usual beliefs around generational contrasts by comparing what’s seen as softness in Gen Z with experienced professionals leaving important sectors of industry. Gayeski suggests that workforce dynamics require understanding that goes beyond simple age labels. What drives people? What do they need? Listening and understanding talent in every phase of their life makes a company attractive for talent. To attract and to keep. She also highlights the need to adjust organizational structures to these different viewpoints, life stages,  and utilize new talent groups correctly. It’s starts with communication, talking and most of all.. listening.

The Path Forward

In the current climate of uncertainty about how prepared graduates are to enter the workforce, there is an opportunity to take action and align things strategically. I campus recruitment we see that companies already start in the first years of education to communicate and train talent. Not only for recruitment purposes, but also to make sure the skill gap is not too big. If recruitment leaders also create an environment that welcomes different skills and values, they can position their organizations for success in this increasingly competitive landscape. At the same time, by examining traditional methods for hiring and putting money into more targeted actions, these leaders can help recent graduates flourish at work nowadays.