Job Seekers Gain Negotiating Power

Job Seekers Gain Negotiating Power

A recent survey conducted by the Ifo Institute in Munich and staffing agency Randstad suggests a notable shift in the balance of power during job interviews in Germany. The study, involving 638 personnel managers across various German companies, indicates that job seekers are increasingly able to advocate for their interests.

The results reveal that a minority (11%) believe employers currently hold the upper hand, while nearly half (49%) feel the advantage lies with job applicants. A significant 40% perceive the dynamic as relatively balanced.

This growing leverage for job seekers appears to be driven largely by a persistent shortage of skilled labor. When asked about the primary concern in personnel planning, a substantial majority (over 50%) identified the scarcity of qualified and available workers as the dominant factor. Only 9% prioritized potential staff reductions. Twenty percent felt the issues were equal in importance, while 19% indicated neither concern was particularly pressing.

Personnel managers report the most acute need is for individuals with completed vocational training, with 77% citing this as a critical requirement. However, even for auxiliary staff, a considerable 22% report experiencing a “very strong” or “rather strong” shortage.

Looking ahead, the survey suggests that artificial intelligence is unlikely to alleviate the labor crunch significantly. A strong majority (72%) anticipate that AI implementation will not lead to notable job creation or reduction within their companies over the next three years.