A tight labor market and a slowing economy will slow down job growth in the Netherlands next year, the welfare agency UWV said in a report. Labor market forecast. Employment numbers are still expected to rise slightly next year, but declines are expected in some sectors.
UWV expects 165,000 new jobs to be created in the Netherlands this year, up 1.4%. Next year, the number of new jobs is expected to decrease by 0.5% to about 61,000. There will be fewer jobs next year in the industrial, construction, financial services, transportation and storage sectors than this year.
UWV said the long-term trend of increasing proportion of part-time workers will also continue, reducing the average hours per job. Hours worked are expected to increase by 1.2% next year and 0.4% in 2024, lagging behind employment growth.
UWV said the slowdown in employment growth was due to a combination of a tight labor market (which is expected to remain broadly flat for the next few years) and slowing economic growth. “The supply of available labor will increasingly dictate the limits of economic growth,” said Rob Witches, director of the Bureau of Labor Market Information and Benefits.
Labor shortages are slowing employment as companies have to look for solutions other than hiring more workers to increase output, and other solutions will be found.
https://nltimes.nl/2023/06/01/job-growth-expected-stall-netherlands-next-year Job growth expected to slow in the Netherlands next year