The Swiss job market recorded a 3% year-on-year decline in Q4 2023, according to the latest Adecco Group Swiss Job Market Index by the Adecco Group Switzerland and the Swiss Job Market Monitor from the University of Zurich.

When compared to Q3 2023, the Index recorded its sharpest decline of the year with a 4% dip.

The Index also published data for the full year 2023. For the full year period, the Swiss labour market saw a slowdown in job growth, influenced by a marked economic slump. The Index recorded a moderate increase of 3% compared to 2022.

Marcel Keller, country president Adecco Group Switzerland, said, ““Both the decline in employment growth and the increase in the unemployment rate point to a slowdown in the growth momentum of the Swiss labour market. The Adecco Swiss Job Market Index highlights this trend. In 2023, the job market grew by just 3%. Despite this slowdown, the number of job vacancies remains at a historically high level and the unemployment rate remains relatively low by comparison.”

Among occupation groups, the skilled trade and support personnel group reported annual growth of 13% in 2023. This occupational group includes multi-skilled mechanics, assembly electricians and warehouse workers. Meanwhile, skilled service and sales personnel registered growth of 12%. This group includes occupations such as skilled service staff, salespeople and tour guides. Skilled technology personnel also recorded an increase of 10% compared to the previous year. This occupational group includes occupations such as process engineers, design engineers and automation engineers.

Martin Meyer, VP, operations Switzerland, said, “In 2023, the spotlight was on support personnel and trade and service occupations. Despite the economic challenges, demand for these workers has increased. This underlines the essential role these professions play in the Swiss economy.”

In contrast to the occupational groups showing a positive trend, a number of groups experienced negative trends in job growth this year. At the top of this group are managers, with a decline of 12%. Managers are a very broadly defined occupational group. It includes occupations ranging from managing directors and HR managers to head butchers and circus ringmasters.

The Index pointed to various factors which seemed to be contributing to the continuing negative performance of this group. One factor is the trend towards flatter organisational structures, which reduces the need for managers. Furthermore, managerial positions are often not advertised publicly, but are instead filled through informal networks. Another factor is the shortage of skilled workers, which leads companies to focus primarily on recruiting new employees before looking for new managers.

Similar to managers, skilled office and administrative personnel saw a 7% decrease in job advertisements, including for occupations such as HR assistants, administrative staff and real estate managers. Similarly, academic STEM and health professions recorded a decline of 3%. Such occupations include business data processing specialists, architects and process engineers.

By region, labour markets in the major regions of Switzerland paint a varied picture in terms of job growth, as a comparison between 2022 and 2023 shows. Northwestern Switzerland stands out at the top of the ranking with growth of 14%, closely followed by Espace Mittelland with 7% and Central Switzerland with 5%. In Eastern Switzerland, on the other hand, job advertisements remain at the same level as in the previous year. Zurich reported a slight decrease (-1%) in job advertisements, while Southwestern Switzerland saw a decrease of 4%.