Mar 1, 2025
As the European job market experiences fluctuations, Italy and Spain are leading the way with increased job postings, a trend highlighted by recent data from Indeed. In contrast, the UK, Germany, and France are witnessing a decline in job listings, marking a significant departure in employment trends among Europe’s largest economies.
The data showcases that in the three months leading up to mid-February 2025, Italy saw a 9% rise in job postings while Spain experienced a 4% increase. According to IndexBox, these countries benefitted significantly from the Next Generation EU funds, which boosted service exports and fueled GDP growth. Immigration also played a major role in Spain’s economic uptick, providing further impetus to its labor market.
Pawel Adrjan, Director of Economic Research at Indeed, noted that while Italy and Spain are benefiting from increased employment, the situation is less optimistic in the UK, Germany, and France. Structural challenges like stagnant manufacturing and economic uncertainty are slowing hiring in these nations. Notably, the UK finds itself struggling more than others, with job postings still lagging behind pre-pandemic levels, standing at an index of 85.1 in early 2025.
In a year-on-year comparison, job postings in Italy and Spain are up by 78% and 52%, respectively, compared to February 2020. France and Germany, although showing positive growth of 29% and 26% respectively, are not on par with their European counterparts in Southern Europe. Meanwhile, the UK continues to trail, an outcome of economic caution influenced by high interest rates and cost increases in national insurance and minimum wages.
The ongoing job market trends point to a dynamic shift where Italy and Spain may continue to see employment growth, driven by robust demand in sectors like Food Preparation & Service and Software Development. However, without significant economic recovery, the UK, Germany, and France could see limited employment growth in 2025.
Source: IndexBox Market Intelligence Platform