Overview
- The ifo employment barometer rose to 95.1 in September from 94.8 in August, which the institute interprets as a slight stabilization rather than a broad recovery.
- Industry and retail firms still plan net job cuts while hiring is concentrated in the food sector and certain makers of data-processing, electronic and optical equipment.
- Service firms show balanced hiring and layoffs overall, construction employment is largely stable, and engineering firms plus legal and tax advisers report hiring needs.
- Leading economic institutes raised GDP forecasts after three quarters of growth and expect unemployment to fall from 6.4% this year to about 5.8% by 2028 even though employment may dip first.
- The ifo barometer is based on a large monthly survey of firms and reflects how job plans lag GDP gains, meaning exports and public investment that revived growth have not yet produced a broad jobs recovery.