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France – Staffing market still in decline

24 December 2012

Many staffing firms in France had a difficult year in 2012 and the latest statistics by the Ministry of Labour show that the number of temporary agency workers continued to decline in the third quarter.

The statistics show that in the three months to September, there were 516,400 temporary agency staff active in the labour market. This is a decrease of nearly -6% from the previous quarter while year-on-year, this figure is down by -2%.

The Ministry of Labour said that deterioration of the French staffing market, which is one of the largest in Europe, accelerated from the second and third quarter onwards after a relative stable first quarter.

In the third quarter, the number of temporary contracts decreased by -2.3% while the number of temporary workers in full-time equivalent fell by -4.7%.

The drop in activity hit several sectors, including the industrial sector where temporary jobs declined for the fifth consecutive quarter. In the three months to September, temporary jobs in this segment decreased by -6.5%.

In the tertiary sector, which mainly consists of the services and sales industries, the number of temporary workers dropped by -4.5%. Jobs were also lost in the construction industry, which posted a decline of -6% for the second consecutive quarter.

Staffing Industry Analysts expects the French staffing market to deteriorate in terms of revenue next year, according to the recently published growth forecasts. This comes after Adecco last week said it will diversify its business to offset the market decline


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