Thursday, August 22, 2019
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2019 Q2 Global Quarterly Market Report

ManpowerGroup Solutions provides market trends as well as insight into the global contingent workforce as it evolves each quarter. Featured in this second quarter of 2019 are Global Workforce Trends and Global Workforce Planning as well as regional labor statistics and overviews.

Download the complete Q2 2019 Global Quarterly Market Report.

In a fast-paced, unpredictable marketplace, organizations must be able to react quickly. Today, organizations increasingly rely on the contingent workforce, such as independent contractors, temporary workers, consultants and freelancers. The contingent workforce is scalable and flexible, which provides organizations with the agility they need to remain competitive.

As the world of contingent work evolves, how can organizations keep pace with change? The key is for organizations to consult analyst insights and data. Through the ManpowerGroup Solutions and TAPFIN Quarterly Market Reports, organizations can access market intelligence on a local, regional and global scale and determine how trends and regulations may impact worker cost, performance and availability – giving organizations a quantifiable advantage.

Download the complete Q2 2019 Global Quarterly Market Report.

2019 Q1 Americas Quarterly Market Report

ManpowerGroup Solutions provides market trends as well as insight into the Americas metro area contingent workforces as they evolves each quarter. Featured in this first quarter of 2019 are Paid Sick Leave and Overtime Requirements, Legislation Banning Salary History, Marijuana Laws, Finance and Banking candidate availability, Technology candidate availability, Telecommunications candidate availability, and Manufacturing candidate availability for the United States, all by State. Employment outlook and candidate availability for Canadian and Mexican Markets.

Download the complete Q1 2019 Americas Quarterly Market Report.

Also included are regional and micro level labor statistics, like the unemployment and labor force participation rates. Along with hourly pay by job title, for over 50 metro markets within the United States, Canada and Mexico.

In a fast-paced, unpredictable marketplace, organizations must be able to react quickly. Today, organizations increasingly rely on the contingent workforce, such as independent contractors, temporary workers, consultants and freelancers. The contingent workforce is scalable and flexible, which provides organizations with the agility they need to remain competitive.

But as the world of contingent work evolves, how can organizations keep pace with change? The key is for organizations to consult analyst insights and data. Through the ManpowerGroup Solutions and TAPFIN Quarterly Market Reports, organizations can access market intelligence on a local, regional and global scale and determine how trends and regulations may impact worker cost, performance and availability – putting the power to gain a quantifiable advantage in their hands.

Download the complete Q1 2019 Americas Quarterly Market Report.

2019 Q1 European Quarterly Market Report

TAPFIN provides market trends as well as insight into the European contingent workforce as it evolves across Europe each quarter. Featured in this first quarter of 2019 are Global Trends, European Employment Outlook statistics and Legal and Regulatory updates in countries throughout Europe as well as regional and micro level labor statistics at a country level across a variety of metrics.

Download the complete 2019 Q1 European Quarterly Market Report.

In a fast-paced, unpredictable marketplace, organizations must be able to react quickly. Today, organizations increasingly rely on the contingent workforce, such as independent contractors, temporary workers, consultants and freelancers. The contingent workforce is scalable and flexible, which provides organizations with the agility they need to remain competitive.

But as the world of contingent work evolves, how can organizations keep pace with change? The key is for organizations to consult analyst insights and data. Through the ManpowerGroup Solutions and TAPFIN Quarterly Market Reports, organizations can access market intelligence on a local, regional and global scale and determine how trends and regulations may impact worker cost, performance and availability – putting the power to gain a quantifiable advantage in their hands.

Download the complete 2019 Q1 European Quarterly Market Report.

2019 Q1 Global Quarterly Market Report

ManpowerGroup Solutions provides market trends as well as insight into the global contingent workforce as it evolves each quarter. Featured in this first quarter of 2019 are Global Workforce Trends and Global Workforce Planning as well as regional labor statistics and overviews.

Download the complete Q1 2019 Global Quarterly Market Report.

In a fast-paced, unpredictable marketplace, organizations must be able to react quickly. Today, organizations increasingly rely on the contingent workforce, such as independent contractors, temporary workers, consultants and freelancers. The contingent workforce is scalable and flexible, which provides organizations with the agility they need to remain competitive.

As the world of contingent work evolves, how can organizations keep pace with change? The key is for organizations to consult analyst insights and data. Through the ManpowerGroup Solutions and TAPFIN Quarterly Market Reports, organizations can access market intelligence on a local, regional and global scale and determine how trends and regulations may impact worker cost, performance and availability – giving organizations a quantifiable advantage.

Download the complete Q1 2019 Global Quarterly Market Report.

 

Minimum Wage Increases in 2019

22 States to Increase Minimum Wage

As many as 22 states and the District of Columbia are expected to experience minimum wage increases in 2019, compared to 18 in 2018. With minimum pay rates varying so widely across the United States and many changes coming over the next several years it is now that much more important to have a sound workforce management strategy in each location where contingent labor is engaged. In addition to wage requirements, overtime regulations and benefits requirements also vary widely from state to state throughout the US.

Many organizations inadvertently leave money on the table in states were regulations are more relaxed and/or expose themselves to risk in states were regulations are more stringent.  Whether an employer leverages remote workers, temporary labor, or makes adjustments to its geographic strategy, there are a number of ways to adjust cost management strategies in workforce planning to account for these new wage levels.

Anticipated Changes in 2019

Alaska

Current minimum wage: $9.84
2019 minimum wage: $9.89
Effective date: Jan. 1, 2019
Reason: Cost-of-living adjustment

Arizona

Current minimum wage: $10.50
2019 minimum wage: $11
Effective date: Jan. 1, 2019
Reason: Third step toward approved $12 minimum wage by 2020

Arkansas

Current minimum wage: $8.50
2019 minimum wage: $9.25
Effective date: Jan. 1, 2019
Reason: First step toward approved $11 minimum wage by 2021

California

Current minimum wage: $11 for large employers; $10.50 for small employers
2019 minimum wage: $12 for large employers; $11 for small employers
Effective date: Jan. 1, 2019
Reason: Third step toward approved $15 minimum wage by 2022-23

Colorado

Current minimum wage: $10.20
2019 minimum wage: $11.10
Effective date: Jan. 1, 2019
Reason: Third step toward approved $12 minimum wage by 2020

Delaware

Current minimum wage: $8.25
2019 minimum wage: $8.75 and then another to $9.25
Effective date: First increase in January; second increase in October
Reason: First and last step toward approved $9.25 minimum wage by 2019

District of Columbia

Current minimum wage: $13.25
2019 minimum wage: $14
Effective date: July 1, 2019
Reason: Fourth step toward approved $15 minimum wage by 2020

Florida

Current minimum wage: $8.25
2019 minimum wage: $8.46
Effective date: Jan. 1, 2019
Reason: Cost-of-living adjustment

Maine

Current minimum wage: $10
2019 minimum wage: $11
Effective date: Jan. 1, 2019
Reason: Third step toward approved $12 minimum wage by 2020

Massachusetts

Current minimum wage: $11
2019 minimum wage: $12
Effective date: Jan. 1, 2019
Reason: First step toward approved $15 minimum wage by 2023

Michigan

Current minimum wage: $9.25
2019 minimum wage: $9.48
Effective date: 90 days after the Michigan legislature adjourns, approximately late March or early April
Reason: First step toward approved $12 minimum wage by 2030

Minnesota

Current minimum wage: $9.65 for large employers; $7.87 for small employers
2019 minimum wage: $9.86 for large employers; $8.04 for small employers
Effective date: Jan. 1, 2019
Reason: Cost-of-living adjustment

Missouri

Current minimum wage: $7.85
2019 minimum wage: $8.60
Effective date: Jan. 1, 2019
Reason: First step toward approved $12 minimum wage by 2023

Montana

Current minimum wage: $8.30
2019 minimum wage: $8.50
Effective date: Jan. 1, 2019
Reason: Cost-of-living adjustment

Nevada

Current minimum wage: $8.25 with no benefits; $7.25 with benefits
2019 minimum wage: The Nevada Labor Commissioner will determine in April whether to increase the state’s minimum wage in 2019 based on a formula in the state constitution.
Effective date: July 1, 2019
Reason: Cost-of-living adjustment

New Jersey

Current minimum wage: $8.60
2019 minimum wage: $8.85
Effective date: Jan. 1, 2019
Reason: Cost-of-living adjustment

New York

Current minimum wage: $13 for large employers in New York City; $12 for small employers in New York City; $11 in Long Island and Westchester County; and $10.40 everywhere else
2019 minimum wage: $15 for large employers in New York City; $13.50 for small employers in New York City; $12 in Long Island and Westchester County; and $11.10 everywhere else
Effective date: Dec. 31, 2018
Reason: Fourth step toward approved $15 minimum wage by 2018-21

Ohio

Current minimum wage: $8.30
2019 minimum wage: $8.55
Effective date: Jan. 1, 2019
Reason: Cost-of-living adjustment

Oregon

Current minimum wage: $12 in Portland; $10.75 standard; and $10.50 in rural areas
2019 minimum wage: $12.50 in Portland; $11.25 standard; and $11 in rural areas
Effective date: July 1, 2019
Reason: Fourth step toward approved increases in minimum wages ($14.75 in Portland, $13.50 standard and $12.50 in rural areas) by 2022

Rhode Island

Current minimum wage: $10.10
2019 minimum wage: $10.50
Effective date: Jan. 1, 2019
Reason: Last step toward approved $10.50 minimum wage by 2019

South Dakota

Current minimum wage: $8.85
2019 minimum wage: $9.10
Effective date: Jan. 1, 2019
Reason: Cost-of-living adjustment

Vermont

Current minimum wage: $10.50
2019 minimum wage: $10.78
Effective date: Jan. 1, 2019
Reason: Cost-of-living adjustment

Washington

Current minimum wage: $11.50
2019 minimum wage: $12
Effective date: Jan. 1, 2019
Reason: Third step toward approved $13.50 minimum wage by 2020

Minimum wage is only one of a dozen or more areas of compliance employers will be examining over the course of 2019. However, it is the one that usually gets the most attention. As more municipalities pass Minimum Wage legislation that is separate from their state regulations compliance with the minimum wage rules where organization have workers becomes even more difficult to maintain than ever before.

Total Talent Conclusion – 2018 Total Workforce Index™

The 2018 Total Workforce Index™ suggests that there is increased investment by employers hiring in low cost markets as they continue to seek expanded candidate pools for certain skill sets. Regardless of whether markets are seeing an insurgence of admin/clerical hiring or manufacturing, or technical skills, the Total Workforce Index™ indicates which markets are increasing in workforce engagement and contractor utilization. Over time, observed trends within the index suggest that increased hiring activity ultimately leads to tighter regulation and higher cost, but this year as in past years, we have identified several emerging markets that still offer low cost labor with higher availability.

As workforce markets enter the top rankings for their region or category for the first time, they demonstrate a short-term workforce opportunity to capitalize on low cost and competition that allows for organizations to shift their geographic strategies. This year, the index also suggests that while base wages remain the largest component of total labor costs, they are no longer the majority of those expenditures. Globally, we are seeing increased payrolling taxes, insurance costs, and other statutory burdens that, when coupled with the cost of turnover and training, often exceed base wages themselves. Individual factors, such as the average wages are critical to monitor, but should not be taken out of context within their category – more and more, we are seeing markets whose costs are increasing relative to another country based on their regulations as opposed to the wages themselves.

Global workforce engagement and productivity remains on the rise, despite increasing retirement of aging workforce. At a market level, the index tracks the rate at which workers are aging out and entering the workforce in various skilled categories to enable organizations to better balance the sustainability of their global operations. While there is much speculation on how employers should adjust strategies to accommodate generational trends within their workforce, the index focuses on the quantitative impact that these demographics have on a business at a market level.

While the index is intended to support all organizations in their workforce planning, it is important to note that how an employer prioritizes the factors tracked by the index, is of critical importance to which countries represent the greatest opportunity for their hiring initiatives. How an organization prioritizes cost or availability compared to the individual considerations related to regulation and productivity can substantially impact which markets are most opportune at any given time. As with any index, it is the trending quarter-over-quarter and year-over-year of the factors monitored by the Total Workforce Index™ that provides the greatest insight into future opportunity.

Visit www.totalworkforceindex.com for the full report and additional information

Sources and Disclosures

The primary data sources for this index are all based on statistics from the Ministries of Labour for the 75 markets within the scope, the Central Intelligence Agency (U.S.), World Data Bank, Trading Economics, and internal data collected as part of ManpowerGroup global reporting efforts.

This report is intended to provide an overview of general business information relative to global employment conditions and considerations. It should not be interpreted as legal advice. Please consult with legal counsel to ensure that you are in compliance with all applicable laws.

Methodology of the 2018 Total Workforce Index™

The Total Workforce Index™ scores each market on more than 90 unique factors. Each of these statistical factors is carefully weighted and grouped under one of the four categories: Availability, Cost Efficiency, Regulation, and Productivity.

For the purposes of the global rankings which are released annually, each of the four categories received an equal weighting and therefore an equal share of influence when determining the final score and subsequent ranking of each market. In a consultative engagement, the weighting of each category would be adjusted so that the resulting rankings better reflect the strategic priorities of the organization.

Comparing 2017 and 2018

The weightings, methodology and factors included from 2017 to 2018 remain constant. This allows for meaningful comparison between the data delivered in the 2017 Total Workforce Index™ and that which is shown for the 2018 Total Workforce Index™.

Explanation of Markets Included

The 75 markets included in the Total Workforce Index™ are considered the best representation of most of the global markets that offer employers both contingent and permanent workforce engagement opportunities.

Factor Glossary and Definitions

Each of the over 90 unique factors measured by the Total Workforce Index™ are captured and updated by ManpowerGroup Solutions Analysts periodically throughout the year. Each of these factors has an influence or weighting on the score for one of the four overarching categories, namely: Availability, Cost Efficiency, Regulation and Productivity. A glossary of a selection of the most influential factors is available for download. View Factor Glossary…

Total vs. Contingent and Permanent Workforces

The total workforce is comprised of both the permanent and contingent workforces. Furthermore, the contingent workforce includes informal workers together with all other types of contingent worker populations. This report includes rankings in all four categories for each market in all three of the primary workforce subsets: Total, Contingent and Permanent.

While this report focuses on the Total Workforce Index™ the full volume of data, rankings and information are also available for both contingent and permanent workforces. These are available through consulting engagements from ManpowerGroup Solutions with custom reporting that can deliver rankings that reflect the unique business strategies and workforce priorities of any global organization.

 

Annual Reports – Total Workforce Index™

View the published excerpt of the 2018 Total Workforce Index™, as well as the complete historical Total and Contingent Workforce Index reports.

2013 Contingent Workforce Index™

2015 Contingent Workforce Index™

2017 Total Workforce Index™

2014 Contingent Workforce Index™

2016 Contingent Workforce Index™

2018 Total Workforce Index™

For the full 2018 Total Workforce Index™ visit the www.totalworkforceindex.com

About the Total Workforce Index™

In 2013 ManpowerGroup Solutions launched the Contingent Workforce Index. This annual index was developed to provide an in-depth review of the global contingent labor market. Initially focused exclusively on the contingent workforce across 75 markets, the Contingent Workforce Index addressed only a portion of the talent landscape. With the surge of employers committed to global workforce management and integrated workforce programs, the annual index evolved in 2017 to include the total workforce. The total workforce consists of the permanent and contingent workforce’s, along with the subset of contingent workers, identified as the informal workforce.

The segmented views of the global workforce provided by the Total Workforce Index™ enable organizations to easily benchmark their own workforce mix and cost efficiency across global operations to create a total talent solution. For the first time, employers have one resource that provides a global perspective on gender diversity, millennial impact, informal (gig) workforce participation and the gap between permanent and contingent workers from one market to the next.

Workforce Definitions

Total Workforce

The Total Workforce combines people in the contingent workforce and permanent workforces. The total workforce should not be confused with the total labor force. Where the total workforce includes all of the individuals engaged in work activity within a workforce market, the labor force describes both employed and unemployed members of the population who are of working age and who are able to be engaged for work.

Contingent Workforce

The Contingent Workforce includes all non-traditional worker categories from informal and contract to part-time and temporary labor. While the contingent workforce is a portion of the total workforce it can be further divided into the informal and non-informal workforces. The informal workforce includes workers who accept engagements and compensation on a per job basis also commonly referred to as ‘Gig Economy’ workers.

Permanent Workforce

The Permanent Workforce includes the most traditionally thought of form of employment. These are individuals employed full-time. Though this category can also be broken down by employment status such as tenure, faculty, or staff those distinctions are generally made by employer policy as opposed to legislation.  As such, the permanent workforce is looked at in its entirety, while excluding those that are unemployed or otherwise not a part of the active workforce.

What is the Total Workforce Index™?

The Total Workforce Index™ measures the relative ease of sourcing, hiring and retaining a workforce in competing labor markets around the world. The Total Workforce Index™ compiles more than 90 key factors that relate to the Availability, Cost Efficiency, Regulation and Productivity of the workforce of each market. Unlike any other workforce index, the ManpowerGroup Solutions Total Workforce Index™ considers each aspect of the workforce and its unique dynamics, rather than inaccurately clustering contingent and permanent workers into a broad demographic analysis. The inclusive segmentation of the entire workforce introduces a new level of visibility and enables the review and analysis of all contingent and permanent workforce considerations, in addition to the sum of these two workforce segments.

Also setting the Total Workforce Index™ apart from other reports of a similar nature is the use of a proprietary ManpowerGroup formula. This formula assigns a numerical value to each market, comparing the relative opportunities and potentially negative impacts of entering one labor market versus another.

Just as the Gross Domestic Product (GDP) of a market is used as an economic indicator; the Total Workforce Index™ may be used as an indicator of workforce potential. Total Workforce Index™ rankings provide important perspectives and insights that can influence both short- and long-term strategies involving workforce procurement, including:

Capacity Planning
Merger and Acquisition
Cost Savings
Organizational Restructuring
Market Investments
Workforce Mix

In this global Total Workforce Index™ analysis, an equal weight is attributed to each of the four categories: Availability, Cost Efficiency, Regulation and Productivity. A higher Total Workforce Index™ ranking indicates that a market is likely to support higher volumes of hiring − whether contingent, permanent or a combination of both − based on workforce quality and productivity.

About the Data

Tracking over 90 data factors the primary data sources for this index are all based on statistics from the ministries of labour for the 75 markets within the scope, the Central Intelligence Agency (U.S.), World Data Bank, Trading Economics, and internal data collected as part of ManpowerGroup global reporting efforts. View factor glossary…

Introduction to 2018 Total Workforce Index™

Becky Frankiewicz, President, ManpowerGroup North America

from Becky Frankiewicz…

Today’s business environment is as complex as it is unpredictable. Technological disruption opens new opportunities for businesses to grow and create value, provided they transform and have the skills needed to remain competitive today and tomorrow. The emergence of new skills and new talent pools, together with fresh ways of working and getting work done, mean companies have more options than ever when identifying where and how to build their contingent and permanent workforces. Yet, shifting regulatory frameworks, overwhelming amounts of workforce data and changing skill requirements add layers of complexity to decision-making. The right combination of data and insights enables companies to make better and faster choices about where to locate their workforces with greater market transparency.

The Total Workforce Index™ is the only tool of its kind to use big data strengthened by fresh insight to influence both short- and long-term growth strategies. In a global analysis across 75 markets of more than 90 factors, the Total Workforce Index™ evaluates skills availability, cost efficiency, regulation and workforce productivity of both permanent and contingent labor types. The result is a comprehensive report ranking countries where skills, productivity and labor laws make it most favorable to do business. The Total Workforce Index™ is adaptable so organizations can customize and prioritize their most pressing workforce questions. The tool can provide a broad perspective from answering “How will shifting regulation and changing wages in a specific location impact our business?” to “Where can I find workers with the skills my organization needs as technology advances?” It also offers specificity: “Where should we put our next call center?”, “What should our workforce mix be in this country?” and “Where is the right location in my market to offer flexible work schedules?”.

Company expectations will continue to evolve as they demand more data-based people decisions; the playbook is changing and basic concepts of scale, value and competition are being redefined. Through real-time, robust data and tested insight, the Total Workforce Index™ turns complexity into opportunity and shifts HR from an art to a science so businesses can execute a precise talent strategy aligned to their unique needs, and more importantly, the needs of talent.

Becky Frankiewicz

President, ManpowerGroup North America