Workers See Worsening Job Prospects in the Labor Market as Global Hiring Rates Slow

Global labor markets remain sluggish as central banks position more supportive monetary policies with mixed results in markets around the world.

Central banks including the U.S. Federal Reserve, the Bank of Canada, and the Bank of England have moved away from focusing solely on controlling inflation to measures aimed at stimulating economic growth. Despite these efforts, the global labor market continues to face significant challenges.

Recent data published by LinkedIn shows hiring rates have declined across major economies. In August, France and Germany saw a 17% year-over-year drop in hiring rates compared to the previous year, and there were similar percentage declines in Brazil (-11%), Australia (-15%), the U.K. (-13%), and the Netherlands (-13%). The U.S. experienced a more modest 8% decrease, while emerging markets including India and the UAE remained more resilient — with hiring rates above pre-pandemic levels.

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This disparity highlights a broader trend across the global workforce: many developed economies are struggling with increased competition for fewer jobs, while large emerging markets are facing these labor challenges more effectively.

LinkedIn’s data reveals that in countries like Canada and the U.K., the number of applicants per job posting has doubled in the last two years. Sector-specific trends also show that fields like Professional Services have been particularly affected — with job applicants significantly outnumbering opportunities. Meanwhile certain sectors have gone against the trend, like in healthcare where hiring is up 35% since August 2018.

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Despite some sectors showing promise, the overall outlook remains tough for job seekers. As hiring slows in large global markets, competition is increasing. However, there is hope for 2025, particularly in Europe, where economies like France and Germany may see renewed growth.

The global slowdown in hiring is also influencing commercial office market trends. Greater competition and slower hiring growth in key cities are increasing demand for flexible workspaces such as coworking offices. This trend coincides with the rise of hybrid work globally, which is forcing companies to rethink their office spaces worldwide.