For 2021 compared to the previous year, more firms expect an increase in their demand for labor than a decrease.

Employment plans of the companies 2021
German Economic Institute (IW)
For 2021 compared to the previous year, more firms expect an increase in their demand for labor than a decrease.
This is a core result of a survey of some 1,300 firms in Germany in winter 2020. More particularly, firms that were positively affected by the corona crisis are optimistic. Also, large firms expect stronger growth of labor demand than small firms. To adjust the labor volume, firms use a wide variety of instruments. Most important is the hiring of new workers with open-ended contracts. The adjustment by variation of individual working time is less important. Firms use more flexible forms of employment like fixed-term contracts or temporary agency work typically as complements, not as a substitution for open-ended-contract work.

Employment plans of the companies 2021
German Economic Institute (IW)
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