Key considerations for business owners in the global labor market
A 24% year-over-year increase in global job postings was observed in February 2023.
In April 2023, Brazil experienced a 20% increase in job demand, positioning it second on the list.
In June 2023, the United States, known for technological advancements, led in cybersecurity job demand.
The above insights may pique a flicker of interest to the ordinary eye before they move on to the next statistic. However, for business owners, these statistics offer more than surface-level information. The data is raw, providing an initial glimpse into the labor market.
Data is not just something to possess; it’s about what you make of it.
Let’s take the same three statistics mentioned above and analyze how they affect the decisions of business owners looking to start or expand into new labor markets.
A 24% year-over-year increase in global job postings was observed in February 2023, signifying positive global job market growth. Business owners can leverage this information to target regions with an upward trajectory in employment opportunities, ensuring they are positioned to tap into this expansion.
In April 2023, Brazil experienced a 20% increase in job demand, positioning it second on the list. Since the sudden surge, business owners can use this insight to exercise caution about committing entirely to a market experiencing a temporary surge in demand. Instead, they may consider the broader economic and political factors at play in Brazil before making any strategic decisions.
In June 2023, the United States, known for technological advancements, led in cybersecurity job demand. Business owners can take advantage of this insight by seeking labor markets with a pool of skilled cybersecurity experts, essential to safeguard their digital assets. Understanding the ongoing demand for such professionals can help them secure their businesses against cyber threats and data breaches.
And that is the power of data!
In this blog post, we explore the key insights and strategies for using data to select the ideal labor market for your industry with country-wise insights, skills-wise insights, and industry-wise insights.
Country-wise insights provide valuable information for business owners when deciding where to establish or expand their operations. Gaining global country-wise insights is crucial for business owners when selecting the right labor market for several reasons:
Market assessment. It allows business owners to assess labor markets worldwide comprehensively. Understanding the dynamics of different countries helps identify regions with favorable conditions, such as vibrant economies, dynamic workforces, and growth potential.
Risk mitigation. Global insights help identify countries with stable labor markets, minimizing the risks associated with fluctuations and uncertainties. This is particularly important in industries that require consistency for operational continuity.
Economic stability. Knowledge of a country’s economic conditions and prospects is vital. It enables business owners to choose labor markets where their industry can thrive with the assurance of economic stability and growth.
Cost considerations. Business owners can compare labor costs across countries and make informed decisions. This ensures they don’t overcommit to labor expenses and maintain cost-effective operations.
Talent accessibility. Different countries offer different pools of talent. Country-wise insights help business owners locate regions with the skills and expertise their industry demands, ensuring a competent and readily available workforce.
Cultural and legal factors. Understanding a country’s cultural and legal aspects is vital for compliance and ensuring a harmonious work environment. Insights help business owners navigate diverse cultural contexts and comply with local labor laws.
Market expansion strategy. Business owners planning to expand their markets internationally can use these insights to select labor markets that align with their expansion strategies and target audiences, enabling successful market entry and growth.
Competitive edge. Being aware of the labor market dynamics in various countries allows business owners to stay ahead of the competition. They can make informed decisions about labor market trends and adjust their strategies accordingly, similar to how Siemens used an HRForecast platform to evaluate competitor benchmarking and gain insights into future workforce trends.
Below are some global labor market insights from HRForecast in 2023, highlighting the country-wise insights and their implications for business owners seeking the ideal labor market.
Skills insights are crucial in guiding business owners when deciding the best labor market for their industry. For example, the insights about the high demand for Project, Electrical, and Data engineers, which replaced positions like Pharmacist and Marketing Manager in March 2023, are particularly vital for business owners. These findings indicate a need for advanced technical skills, which can significantly impact industries dependent on engineering expertise. For business owners operating in sectors like technology, manufacturing, or any field relying on cutting-edge technology, these insights are a clear signal to consider labor markets rich in engineering talent. By doing so, they can ensure they have access to the right skills required to drive innovation and maintain a competitive edge in their respective industries.
For business owners operating in sectors like technology, manufacturing, or any field relying on cutting-edge technology, these insights are a clear signal to consider labor markets rich in engineering talent.
Furthermore, professional and skills-wise insights, such as the prominence of accountants and accounting assistants in the finance sector in August 2023, hold great significance. These observations highlight a strong need for financial professionals, particularly in the finance and accounting sectors. Business owners in financial services, accounting firms, or companies with substantial financial operations should take heed of these insights. They can use this information to decide which labor markets to tap into, ensuring they have a workforce to manage financial matters efficiently. These insights empower business owners to strategically position their operations in locations with the requisite financial expertise, facilitating smoother financial management and improved business performance.
The evolving culinary landscape in certain labor markets can be a valuable asset for business owners looking to create unique and appealing products or services.
In addition to technical and financial expertise, culinary trends and the cultural impact on the labor market can also influence business owners’ decisions. The rise of Currywurst in Germany and France, leading to an upsurge in job listings in the culinary and gastronomy sectors, highlights how culinary inventions can affect employment trends. Business owners in the food and hospitality industry should consider these insights when planning expansion or diversification. The evolving culinary landscape in certain labor markets can be a valuable asset for business owners looking to create unique and appealing products or services. By aligning their operations with culinary trends, they can cater to consumer preferences and stand out in competitive markets. These insights emphasize the importance of staying attuned to local and cultural factors when expanding or establishing businesses, enhancing the industry’s potential for success and growth.
Obtaining global insights on the specific industry a business operates in is paramount for business owners seeking to select the right labor market for several critical reasons:
Industry growth alignment. Business owners should select labor markets in sync with their industry’s global growth patterns, ensuring abundant opportunities for expansion.
Access to specialized talent. Recognize regions with a rich talent pool possessing industry-specific skills to elevate workforce capabilities and maintain a competitive edge.
Risk mitigation. Identify labor markets offering stability and a supportive environment for their industry, reducing operational risks.
International expansion. Business owners must strategically choose labor markets that meet international demand and resource requirements to serve global markets.
Optimized supply chain. Select labor markets strategically to enhance supply chain efficiency, lower operational costs, and improve product delivery.
Innovation and adaptation. Staying informed about global industry trends enables businesses to innovate and adapt to rapid changes, fostering competitiveness in evolving industries.
Below are some global labor market insights from HRForecast in 2023, highlighting the industry insights and their implications for business owners seeking the ideal labor market.
The insights provided in this blog post underscore the significance of making informed decisions when selecting the right labor market for your industry. Country-wise insights offer a comprehensive understanding of labor market dynamics, aiding in market assessment, risk mitigation, and identifying regions with the right workforce. Skills insights provide valuable information for targeting specialized professionals and aligning your workforce with industry demands. Industry insights help business owners align their growth strategies with labor market opportunities, access specialized talent, and mitigate risks. The power of these insights empowers business owners to make strategic decisions and stay ahead of the competition. To take a closer look into these global market insights, check out the full reports through the link provided here.