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France – Staffing firms hit by weak market

04 February 2013

The staffing market in France continued to show signs of contraction in December 2012 as temporary billings deteriorated further, according to new research. Staffing firms in the country have seen months of decline and have struggled with demand.

Multinationals such as ManpowerGroup and Kelly Services last week both posted a drop in French revenues as demand for temporary workers fell during the fourth quarter 2012.

“We experienced further softening in demand for our services in the French market,” said ManpowerGroup as revenues were down -9% in the period. Kelly Services reported a -14% decline in revenues in the three months to December 2012.

The latest employment barometer by the French association of employment agencies (PRISME) confirms the weak market conditions. This showed that temporary employment fell by -15.6% in December.

The decline hit major sectors, such as industry (-19.3%) and construction (-14.5%). Demand for temporary workers decreased across the country, but Eastern France showed the sharpest declines. In December, the number of temporary staff was down by -10.2%, particularly among professionals and managers (-16.0%). The number of unskilled workers dropped by -16.9%.

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