TAPFIN Quarterly Market Report European Contingent Workforce Q1, March 2017

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1 TAPFIN Quarterly Market Report European Contingent Q1, 2017 March 2017

2 Table of Contents Disclaimer and Definitions European Overview Regional Breakdowns Appendix

3 The Purpose of this Quarterly Market Report is to give an European overview of key trends and metrics around the European, from both the overall Employment numbers, and the Employment Outlook, based upon research and analysis conducted within ManpowerGroup. It should not be interpreted as legal advice. Please consult with legal counsel to ensure that you are in compliance with all applicable laws.

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5 Total 450m Full Time Employees 339m Contingent 70m Unemployed 40m 15.57% CW% of TWF 0.03% CW% Change to PQ 8.96% UW% of TWF 0.06% UW% Change to PQ CONTINGENT WORKFORCE UNEMPLOYED WORKFORCE

6 ManpowerGroup Solutions TAPFIN MEOS Q2, 2017 ManpowerGroup Proprietary & Confidential

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8 Germany: Remuneration Transparency Bill to be debated in Parliament (Source: DLA Piper) The German government introduced the bill on pay transparency (which was adopted before by the cabinet on 11 January) to the German Bundestag. The draft bill will be debated in parliament in the upcoming weeks. The Bundestag may amend or change parts of the draft bill. However, it is not likely that there will be major changes. The new Remuneration Transparency Act is planned to enter into force on 1 July 2017 although that date may still change. remuneration transparency bill to be debated inparliament Germany: Revision of the Law on Temporary Work from 1 April 2017 (Source: DLA Piper) The German Parliament (Bundestag), with the approval of the Federal Council (Bundesrat), has passed amendments to the "Law on Temporary Work". The new rules will enter into force on 1 April 2017 and impact both on leasing personnel and also on work and service contracts. revision of the law on temporary work from 1 april 2017 UK: UK Govt publishes Brexit White Paper: Implications for employers. (Source: DLA Piper) The Government has published its White Paper on the basis on which it proposes to approach negotiations with the EU on Brexit. There are three parts of the White Paper which will be of particular interest to employers: Controlling immigration Securing rights for EU nationals in the UK and UK nationals in the EU Protecting workers rights great british repeal bill/ Russia: Russia: Significant increase in fines for personal data violations (Source: DLA Piper) A recently published law stipulates an increase, from 1 July 2017, of fines for operators for violations in the sphere of processing personal data. significant increase in fines for personal data violations UK: Gender Pay Gap Information Regulations (Source: APSCo, Kemp Little) Into force on 6th April 2017, First snapshot date is 5 April 2017 (Previously 30th) and the the First report published by no later than 4 April UK: Apprenticeship Levy (Source: APSCo) Comes into effect on the 6 th April and it is It is payable by all UK employers; with a pay bill over 3m. Levy can be used by employers to pay for apprenticeship training in England only. The levy is 0.5% of all payroll costs, and payroll costs include anything that is subject to Class 1 secondary NIC pay, holiday pay, sick pay, shift premia, bonuses, etc. ManpowerGroup Solutions TAPFIN QMR Q1, 2016 ManpowerGroup Proprietary & Confidential

9 France: Anti corruption and whistleblowing (Source: DLA Piper) A new law on Transparency, the Fight against Corruption and Modernization of Economic Life was enacted in December 2016 to strengthen French anti corruption regulations. anti corrupation and whistleblowing Italy: New law means employers of 15 employees must hire a disabled employee (Source: DLA Piper) Italian law promotes the employment of disabled people through compulsory work placement (assunzioni obbligatorie). If an employer has more than 50 employees, 7% of its workforce must be disabled persons; if an employer has between 36 and 50 employees, 2 employees must be disabled persons; if an employer has between 15 and 35 employees, 1 employee must be a disabled person. From 1 January 2017, a new hiring is no longer needed and employers must now hire a disabled person at the point its workforce comprises, or reaches, 15 employees. This applies even if the employer does not need to recruit an additional employee for its business purposes. new law means employers of 15 employees must hire adisabled employee Poland: January 2017 changes to employment law (Source: DLA Piper) A number of changes to employment law were approved by the Parliament in December 2016 and come into effect on 1 January january 2017 changes to employment law Mexico: Proposed Increase to minimum wage (Source: DLA Piper) The new proposed general minimum wage for 2017 will be MXN increase to minimum wage EU: The new EU Pensions Directive (Source: Lexology) A new European Pensions Directive (the Directive) came into force in January As with much of the recent financial sector legislation to emerge from the financial crisis of 2008, the Directive aims to improve governance and accountability in relation to workplace pensions. Key points Many of the new Directive s provisions are aimed at better protecting the benefits of members and beneficiaries. The rules for schemes operating cross border have been tweaked, with a view to reducing barriers to cross border activity. The Directive does not include solvency measures for pension schemes, but we may not yet have heard the last of such proposals. EU Member States have until 13 January 2019 to incorporate the Directive into national legislation. 37a8 45ae a22c9&utm_source=Lexology+Daily+Newsfeed&utm_medium=HTML+ + +Body+ +General+section&utm_campaign=Lexology+subscriber+daily+feed&utm_content=Lexology+Daily+Newsfeed &utm_term= ManpowerGroup Solutions TAPFIN QMR Q1, 2016 ManpowerGroup Proprietary & Confidential

10 EU: European Parliament approves recommendations to protect on demand workers (Source: SIA) The European Parliament approved recommendations for the forthcoming proposal on the European Pillar of Social Rights, that would impact gig economy workers. The nonbinding resolution guarantees basic rights for workers, regardless of the form of employment and contract. News/Europe European Parliament approves recommendations to protect on demand workers UK: UK Brexit bill: Parliament clears way for talks with EU (Source: BBC) Parliament has passed the Brexit bill, paving the way for the government to trigger Article 50 so the UK can leave the European Union. Peers backed down over the issues of EU residency rights and a meaningful vote on the final Brexit deal after their objections were overturned by MPs. The bill is expected to receive Royal Assent and become law. politics ManpowerGroup Solutions TAPFIN QMR Q1, 2016 ManpowerGroup Proprietary & Confidential

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12 Total 14.2m Full Time Employees 11.3m Contingent 2.1m Unemployed 980k 14.59% CW% of TWF 0.05% CW% Change to PQ 6.19% UW% of TWF 2.71% UW% Change to PQ CONTINGENT WORKFORCE UNEMPLOYED WORKFORCE

13 ManpowerGroup Solutions TAPFIN MEOS Q2, 2017 ManpowerGroup Proprietary & Confidential

14 Total 165m Full Time Employees 132m Contingent 22m Unemployed 10.7m 13.40% CW% of TWF 0.02% CW% Change to PQ 6.53% UW% of TWF 0.06% UW% Change to PQ CONTINGENT WORKFORCE UNEMPLOYED WORKFORCE

15 ManpowerGroup Solutions TAPFIN MEOS Q2, 2017 ManpowerGroup Proprietary & Confidential

16 Total 29.5m Full Time Employees 23.6m Contingent 3m Unemployed 3m 10.08% CW% of TWF 0.01% CW% Change to PQ 10% UW% of TWF 0.1% UW% Change to PQ CONTINGENT WORKFORCE UNEMPLOYED WORKFORCE

17 ManpowerGroup Solutions TAPFIN MEOS Q2, 2017 ManpowerGroup Proprietary & Confidential

18 Total 53m Full Time Employees 44.6m Contingent 5.8m Unemployed 2.3m 11.13% CW% of TWF 0.02% CW% Change to PQ 4.46% UW% of TWF 0.06% UW% Change to PQ CONTINGENT WORKFORCE UNEMPLOYED WORKFORCE

19 ManpowerGroup Solutions TAPFIN MEOS Q2, 2017 ManpowerGroup Proprietary & Confidential

20 Total 80m Full Time Employees 49m Contingent 19.3m Unemployed 11.7m 24.09% CW% of TWF 0.09% CW% Change to PQ 14.67% UW% of TWF 0.23% UW% Change to PQ CONTINGENT WORKFORCE UNEMPLOYED WORKFORCE

21 ManpowerGroup Solutions TAPFIN MEOS Q2, 2017 ManpowerGroup Proprietary & Confidential

22 Total 13.8m Full Time Employees 11.7m Contingent 1.3m Unemployed 820k 9.51% CW% of TWF 0.03% CW% Change to PQ 5.93% UW% of TWF 0.17% UW% Change to PQ CONTINGENT WORKFORCE UNEMPLOYED WORKFORCE

23 ManpowerGroup Solutions TAPFIN MEOS Q2, 2017 ManpowerGroup Proprietary & Confidential

24 Total 58.6m Full Time Employees 38.1m Contingent 11.4m Unemployed 9m 19.47% CW% of TWF 0.01% CW% Change to PQ 15.36% UW% of TWF 0% UW% Change to PQ CONTINGENT WORKFORCE UNEMPLOYED WORKFORCE

25 ManpowerGroup Solutions TAPFIN MEOS Q2, 2017 ManpowerGroup Proprietary & Confidential

26 Total 35.6m Full Time Employees 28.9m Contingent 4.9m Unemployed 1.8m 13.92% CW% of TWF 0.02% CW% Change to PQ 4.94% UW% of TWF 0.13% UW% Change to PQ CONTINGENT WORKFORCE UNEMPLOYED WORKFORCE

27 ManpowerGroup Solutions TAPFIN MEOS Q2, 2017 ManpowerGroup Proprietary & Confidential

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30 Q1 17 Global Trends Overview Overtime Work Visas Benefits Taxes rth America 1. US - Federal O/T increase on hold 2. US - 19 state increases 1. US - Under Review 2. CA - Expanding 1. US - ACA Reform 2. US - State Paid-Leave Increase 1. US Under federal review 2. US State level increases South & Central America Europe 1. Chile/Brazil increasing O/T law 2. Mexico/Argentina complex schedules 1. Varies by country w/ UK regulations uncertain post- Brexit 1. Minimal change for inbound 2. Potential decline of outbound (to US) 1. Common travel areas w/ shifting limits for Bulgaria & Romania 1. Increasing burdens & social insurance 1. Ongoing reform 1. AWR is EU specific 1. Taxation is set at a country level Middle East & Africa 1. Less consistent w/ new legislation on rise for 50% premiums 1. Potential restriction of outbound visas results in increase local recruitment 1. Healthcare reform & social insurance ongoing review 1. Taxation + insurance increasing costs of employment Asia-Pacific 1. O/T restrictions rising Japan & others w/new guidelines 1. Quotas for % of foreign workers in Singapore & elsewhere 1. t consistent but increasing risk of noncompliance via suppliers 1. Rising taxes, esp. China undermine cost savings of wages ManpowerGroup Solutions TAPFIN QMR Q1, 2017 ManpowerGroup Proprietary & Confidential

31 H-1B Visa Changes Impact Scenarios ManpowerGroup Solutions TAPFIN QMR Q1, 2017 ManpowerGroup Proprietary & Confidential

32 New Year. New Plan. New Questions. Do we already Employ them? How Many people do we need? What are they Worth? Have we already Interviewed them? How much Time do we need them for? Where do we need them? How do we Engage them? Who else hires them? How do we Retain them? How will we measure them? ManpowerGroup Solutions TAPFIN QMR Q1, 2017 ManpowerGroup Proprietary & Confidential

33 ManpowerGroup Solutions TAPFIN MEOS Q2, 2017 ManpowerGroup Proprietary & Confidential

34 Austria Agriculture 4 % Services 70 % Industry 26 % Total 4,563,400 Full Time Employees 3,541,162 Contingent 538,518 Unemployed Workers 483,720 n-discrimination in hiring of women Austria 65 years 65 years

35 Bahrain Agriculture 1 % Services 62 % Industry 35 % Total 750,065 Full Time Employees 693,422 Contingent 27,391 Unemployed Workers 29,253 n-discrimination in hiring of women Bahrain 55 years 60 years

36 Belarus Agriculture 10 % Services 57 % Industry 33 % Total 4,482,881 Full Time Employees 4,296,035 Contingent 142,018 Unemployed Workers 44,829 n-discrimination in hiring of women Belarus 55 years 60 years

37 Belgium Agriculture 1 % Services 77 % Industry 22 % Total 4,966,800 Full Time Employees 3,896,335 Contingent 692,988 Unemployed Workers 377,477 n-discrimination in hiring of women Belgium 65 years 65 years

38 Bulgaria Agriculture 7 % Services 63 % Industry 30 % Total 3,281,700 Full Time Employees 2,659,883 Contingent 359,281 Unemployed Workers 262,536 n-discrimination in hiring of women Bulgaria 63 years 65 years

39 Croatia Agriculture 9 % Services 64 % Industry 27 % Total 1,843,700 Full Time Employees 1,283,370 Contingent 287,462 Unemployed Workers 272,868 n-discrimination in hiring of women Croatia 66 years 66 years

40 Czech RepublicAgriculture 3 % Services 59 % Industry 38 % Total 5,364,800 Full Time Employees 4,181,223 Contingent 899,242 Unemployed Workers 284,334 n-discrimination in hiring of women Czech Republic 67 years 67 years

41 Denmark Agriculture 2 % Services 78 % Industry 19 % Total 3,042,300 Full Time Employees 2,646,536 Contingent 264,945 Unemployed Workers 130,819 n-discrimination in hiring of women Denmark 67 years 67 years

42 Estonia Agriculture 4 % Services 68 % Industry 28 % Total 706,200 Full Time Employees 593,137 Contingent 60,098 Unemployed Workers 52,965 n-discrimination in hiring of women Estonia 63 years 63 years

43 Finland Agriculture 4 % Services 74 % Industry 22 % Total 2,697,400 Full Time Employees 2,146,440 Contingent 337,866 Unemployed Workers 213,095 n-discrimination in hiring of women Finland 63 years 63 years

44 France Agriculture 3 % Services 76 % Industry 21 % Total 29,575,300 Full Time Employees 23,636,580 Contingent 2,981,190 Unemployed Workers 2,957,530 n-discrimination in hiring of women France 67 years 67 years

45 Germany Agriculture 1 % Services 70 % Industry 28 % Total 43,445,700 Full Time Employees 37,116,921 Contingent 4,634,396 Unemployed Workers 1,694,382 n-discrimination in hiring of women Germany 67 years 67 years

46 Greece Agriculture 13 % Services 72 % Industry 15 % Total 4,829,300 Full Time Employees 2,316,664 Contingent 1,401,897 Unemployed Workers 1,110,739 n-discrimination in hiring of women Greece 65 years 65 years

47 Hungary Agriculture 5 % Services 654% Industry 31 % Total 4,617,200 Full Time Employees 3,928,498 Contingent 485,545 Unemployed Workers 203,157 n-discrimination in hiring of women Hungary 65 years 65 years

48 Ireland Agriculture 6 % Services 75 % Industry 18 % Total 2,218,200 Full Time Employees 1,714,509 Contingent 346,199 Unemployed Workers 157,492 n-discrimination in hiring of women Ireland 68 years 68 years

49 Israel Agriculture 1 % Services 80 % Industry 18 % Total 3,954,000 Full Time Employees 3,341,253 Contingent 442,725 Unemployed Workers 170,022 n-discrimination in hiring of women Israel 62 years 67 years

50 Italy Agriculture 4 % Services 70 % Industry 27 % Total 25,692,000 Full Time Employees 16,911,502 Contingent 5,697,458 Unemployed Workers 3,083,040 n-discrimination in hiring of women Italy 66 years 66 years

51 Kazakhstan Agriculture 24 % Services 56 % Industry 20 % Total 8,938,800 Full Time Employees 5,961,286 Contingent 2,530,574 Unemployed Workers 446,940 n-discrimination in hiring of women Kazakhstan 63 years 63 years

52 Latvia Agriculture 7 % Services 69 % Industry 24 % Total 989,400 Full Time Employees 795,121 Contingent 100,286 Unemployed Workers 93,993 n-discrimination in hiring of women Latvia 65 years 65 years

53 Lithuania Agriculture 9 % Services 66 % Industry 25 % Total 1,479,700 Full Time Employees 1,199,578 Contingent 154,348 Unemployed Workers 125,775 n-discrimination in hiring of women Lithuania 65 years 65 years

54 Luxembourg Agriculture 1 % Services 88 % Industry 11 % Total 278,700 Full Time Employees 238,423 Contingent 22,719 Unemployed Workers 17,558 n-discrimination in hiring of women Luxembourg 65 years 65 years

55 Morocco Agriculture 39 % Services 39 % Industry 21 % Total 12,498,273 Full Time Employees 5,401,279 Contingent 5,922,157 Unemployed Workers 1,174,838 n-discrimination in hiring of women Morocco 60 years 60 years

56 Netherlands Agriculture 2 % Services 81% Industry 17 % Total 8,986,400 Full Time Employees 7,140,953 Contingent 1,360,182 Unemployed Workers 485,266 n-discrimination in hiring of women Netherlands 67 years 67 years

57 rway Agriculture 2 % Services 77 % Industry 21 % Total 2,790,300 Full Time Employees 2,467,697 Contingent 191,459 Unemployed Workers 131,144 n-discrimination in hiring of women rway 67 years 67 years

58 Poland Agriculture 11 % Services 58 % Industry 31 % Total 17,292,500 Full Time Employees 12,393,621 Contingent 3,394,431 Unemployed Workers 1,504,448 n-discrimination in hiring of women Poland 67 years 67 years

59 Portugal Agriculture 6 % Services 69 % Industry 25 % Total 5,211,000 Full Time Employees 3,647,127 Contingent 1,016,718 Unemployed Workers 547,155 n-discrimination in hiring of women Portugal 66 years 66 years

60 Romania Agriculture 25 % Services 45 % Industry 30 % Total 9,144,700 Full Time Employees 5,876,384 Contingent 2,765,357 Unemployed Workers 502,959 n-discrimination in hiring of women Romania 63 years 65 years

61 Russia Agriculture 7 % Services 66 % Industry 28 % Total 76,754,167 Full Time Employees 67,380,104 Contingent 5,306,092 Unemployed Workers 4,067,971 n-discrimination in hiring of women Russia 55 years 60 years

62 Serbia Agriculture 21 % Services 53 % Industry 26 % Total 3,132,027 Full Time Employees 1,825,070 Contingent 874,738 Unemployed Workers 432,220 n-discrimination in hiring of women Serbia 65 years 65 years

63 Slovakia Agriculture 4 % Services 61 % Industry 36 % Total 2,766,900 Full Time Employees 2,134,807 Contingent 388,606 Unemployed Workers 243,487 n-discrimination in hiring of women Slovakia 62 years 62 years

64 Slovenia Agriculture 8 % Services 60 % Industry 32 % Total 995,700 Full Time Employees 743,159 Contingent 148,989 Unemployed Workers 103,553 n-discrimination in hiring of women Slovenia 65 years 65 years

65 South AfricaAgriculture 5 % Services 72 % Industry 24 % Total 21,706,000 Full Time Employees 13,529,241 Contingent 2,294,433 Unemployed Workers 5,882,326 n-discrimination in hiring of women State Pension State Pension South Africa 60 years 60 years

66 Spain Agriculture 4 % Services 76 % Industry 20 % Total 22,848,300 Full Time Employees 15,300,938 Contingent 3,290,724 Unemployed Workers 4,256,638 n-discrimination in hiring of women Spain 65 years 65 years

67 Sweden Agriculture 2 % Services 79 % Industry 19 % Total 5,310,600 Full Time Employees 4,444,043 Contingent 521,368 Unemployed Workers 345,189 n-discrimination in hiring of women Sweden 65 years 65 years

68 Switzerland Agriculture 3 % Services 76 % Industry 21 % Total 4,910,800 Full Time Employees 4,010,277 Contingent 718,823 Unemployed Workers 181,700 n-discrimination in hiring of women Switzerland 64 years 65 years

69 Tunisia Agriculture 15 % Services 51 % Industry 34 % Total 4,023,313 Full Time Employees 2,447,784 Contingent 951,916 Unemployed Workers 623,614 n-discrimination in hiring of women Tunisia 60 years 60 years

70 Turkey Agriculture 20 % Services 52 % Industry 28 % Total 30,937,500 Full Time Employees 17,900,190 Contingent 9,386,685 Unemployed Workers 3,650,625 n-discrimination in hiring of women Turkey 58 years 60 years

71 Ukraine Agriculture 15 % Services 59 % Industry 26 % Total 23,089,480 Full Time Employees 16,772,198 Contingent 4,193,050 Unemployed Workers 2,124,232 n-discrimination in hiring of women Ukraine 60 years 60 years

72 United Arab EmiratesAgriculture 4 % Services 73 % Industry 23 % Total 6,302,492 Full Time Employees 5,783,973 Contingent 291,629 Unemployed Workers 226,890 N/A n-discrimination in hiring of women United Arab Emirates 60 years 60 years

73 United KingdomAgriculture 1 % Services 80 % Industry 19 % Total 33,413,400 Full Time Employees 27,197,171 Contingent 4,612,386 Unemployed Workers 1,603,843 n-discrimination in hiring of women United Kingdom 67 years 67 years

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