In the first eight months of 2022, net of seasonal factors, around 300 jobs were created in Italy in the non-agricultural private sector. However, in summer "the dynamics of employee employment slowed markedly”, to the point that less than 35 new jobs were registered between July and August, “less than half of the more than 80 in the previous two months” and just over a third of the 100 registered in the March-April period. It is what emerges from a note on the labor market drafted jointly by the Ministry of Labour, the Bank of Italy and the National Agency for Active Labor Policies (Anpal).
Labor market: growth weakens in both industry and services
The analysis then underlines that “in manufacturing a wide heterogeneity was observed, also determined by the different sectoral effects of energy price increases. In 2022, the ten most energy intensive sectors, identified on the basis of the relationship between energy consumption and added value, showed a significant slowdown; in the summer the food sector decelerated above all, penalized among other things by the difficulties in the procurement of raw materials”.
Not only that: the demand for labor has slowed markedly “also in the construction, confirming the Istat data regarding the reduction in the vacancy rate in progress from the second quarter of 2022".
Furthermore, in the last two months "services however, they were affected by the attenuation of the dynamics of trade and tourism, which followed the strong expansion of the spring months”, continues the note.
Short-term contracts are down, permanent contracts are on the rise
I fixed-term contracts, which are obviously more sensitive to cyclical conditions, "have recorded a negative balance since June" and "since the beginning of 2022 have contributed only one fifth to the increase in regular employment, compared to 70% in the first eight months of 2021 - continue the ministry, Bank of Italy and Anpal - On the contrary, the growth of thepermanent employment, which also benefited from the numerous transformations of existing contracts. The contribution of theapprenticeship".
Male employment slows down, growth halted in the South
The slowdown in the labor market in the summer affected men and women, "affected by the deceleration of services and, above all for the male component, of that of construction". Between July and August “growth was concentrated exclusively in the North Center - continues the note - while in Noononce the boost from the construction and tourism sectors had run out, the phase of employment expansion came to a halt. As in the Italian average, in the southern regions the term work had a negative balance in the summer months; permanent hirings decreased, unlike the rest of the country, remaining clearly below pre-pandemic levels".
