Despite persistent global talent shortages hindering recruitment endeavors, employers anticipate a moderate increase in hiring in the first quarter of 2024, according to the ManpowerGroup Employment Outlook Survey released today.

ManpowerGroup’s data found that 42% of employers anticipate an increase in hiring in the first quarter while 16% expect a staffing decrease, 39% plan to keep workforce levels steady and 3% are undecided.

The net employment outlook now stands at 26%, down from 30% in the previous quarter.

The net employment outlook is calculated by subtracting the percentage of employers who anticipate reductions in staffing levels from those who plan to hire and is internationally used as a bellwether of labor market trends.

“The latest survey reveals that while employer hiring confidence has moderated slightly amid global economic concerns, labor markets remain tight and demand for skilled talent is still strong across multiple sectors,” ManpowerGroup chairman and CEO Jonas Prising said in a press release.

“As companies continue to transform their business models, many are holding onto the talent they have and struggling to find the new talent they need,” Prising said. “This data suggests organizations are committed to offering flexible work options, recognizing that this can give them a competitive edge in attracting and retaining workers. As AI adoption gains traction, employers are turning to upskilling their workforce to maximize potential productivity gains.”

North America continues to hold the strongest outlook at 34%, followed by Asia Pacific, 30%; South and Central Americas, 28%; and Europe, Middle East and Africa, 23%.

Looking at just the US, the research found a net employment outlook of a positive 35%. In Canada, it was a positive 25%.

Globally, India and the Netherlands posted the highest seasonally adjusted net employment outlooks at 37% each, while Argentina posted the lowest at 2%.

Other countries with strong net employment outlooks include Costa Rica at a positive 35% and Mexico at a positive 34%.

Among industries, the IT industry has the brightest global hiring outlook at 36%, followed by financials and real estate at 34%, communication services at 31%, healthcare and life sciences at 28% and industrials and materials also at 28%.

ManpowerGroup’s survey included more than 40,000 employers in 41 countries. It was conducted between Oct. 1 and Oct. 31.