In this analysis we shall examine the rate at which domestic companies faced problems caused by labour shortage in autumn 2018 and in January 2019, with special highlight on the types of companies that were primarily affected by this issue. The measures companies take to keep existing employees in place and to keep labour shortage in hand will also be presented in detail, including the employment of foreign citizens.

Data of the Quarterly Business Climate Survey from October 2018 and January 2019 recorded by IEER (Institute of Economic and Enterprise Research) were used to make this analysis. On both occasions, 400 CEOs were asked about their companies’ business situation and economic expectations. In the course of the same two waves, labour shortage rates, prevention measures and remedies were also surveyed. The full sample consisted of 300 SMEs (20-249 employees) and 100 large companies (250+ employees) in both cases.

The working paper of IEER is based on a survey of 6781 company managers. The analysis examines the extent at which businesses active in Hungary may be affected by automation and also their attitute towards the implementation of new technologies. The proportion of employees on technically automatable jobs was also surveyed.

The following summary comprises the latest results gained from the largest representative survey series on the Hungarian labor market, made by IEER annually. In the study 6781 company leaders’ answers on employment, on the company’s business situation and on future expectations were registered and analyzed. The history of the survey series targeting short term expectations of the labor market goes back to the years following the regime change of 1989-90 in Hungary. The latest survey in this research program took place in September and October 2018 as the eleventh occasion of the collaboration between the Hungarian Ministry of Finance and the Institute for Economic and Enterprise Research (IEER) to forecast the short term economic prospects of the private sector, and to review corporations’ labor market decisions in an empirical study.

The following summary comprises the latest results gained from the largest representative survey series on the Hungarian labor market. During the study 6832 company leaders’ answers on employment, on the company’s business situation, and on the company’s future expectations were registered and analyzed. The history of the survey series targeting short-term expectations of the labor market goes back to the years following the regime change of 1989-90 in Hungary. The latest survey in this research program took place between September and October, 2017 as the tenth occasion of the collaboration between the Hungarian Ministry for National Economy and the Institute for Economic and Enterprise Research (IEER) to forecast the short-term economic prospects of the private sector, and to review corporations’ labor market decisions in an empirical study.

In its analysis the Institute for Economic and Enterprise Research (IEER) examined the perception of labor shortage among Hungarian companies. The analysis is based on the data of the October 2016 Business Climate Survey of 3185 companies among which 2980 answered questions related to recruiting difficulties, and labor and skill shortage. The analysis also covers how recruiting difficulties and expected investments, stock orders, and plans of salary increase are related. The results show that a growing number of Hungarian companies consider recruiting difficulties and labor shortage as an obstacle to business activity and two thirds of them expect that the problems related to this are going to worsen in 2017. The most prevalent problem mentioned by the companies is the recruitment of senior employees. Plans of salary increase and recruiting difficulties are positively related showing that salary increase is a possible way of adaptation to labor shortage among the Hungarian companies.

The following summary comprises the latest results gained from the largest representative survey series on the Hungarian labour market. During the study 6835 company leaders’ answers on employment, on the company’s business situation, and on the company’s future expectations were registered and analyzed. The history of the survey series targeting short-term expectations of the labour market goes back to the years following the regime change of 1989-90 in Hungary. The latest survey in this research program took place between September 7 and October 14, 2016 as the ninth occasion of the collaboration between the Hungarian Ministry for National Economy and the Institute for Economic and Enterprise Research (IEER) to forecast the short-term economic prospects of the private sector, and to review corporations’ labour market decisions in an empirical study.

The new (digital) revolution generates significant changes in the labor market. The result of the ‘skilled-biased technological change’ suggests the following expectations: the demand for unskilled workers will decrease and the demand for high educated labor force will significantly increase. The full automation of certain professions will result in a decrease in the number of work places. In the IEER research the possible effects of automation on the Hungarian labor market were studied with a primary focus on the effects on districts and counties.

The research program "Vocational schools" by IEER conducted since 2008 includes two main parts. The aim of the company survey is to map the demand of specific segments in the business sector for vocational school graduates within one year and beyond a three-year time span.
The survey on graduates examines the beginning of the working life of those young people who obtained their qualifications in vocational schools or trade schools 19 months before. The research has a focus point on whether these young people were able or willing to enter the labour market during the 19 months after their graduation.

The latest survey for the annual “Short-term labor market forecast” research project of the Ministry of National Economics and HCCI Institute for Economic and Enterprise Research (IEER) took place in September-October 2015. During the survey county government offices and IEER staff interviewed 7,112 company managers about their current and expected need for labor. The results can be considered representative by the companies’ geographical location and economic sector, and within this by employee numbers. In the following the results of this research are presented compared to other relevant data sources and estimates.

Our analysis presents graduates and their socio-economic role and labour market situation based on facts from several researches and correlations that followed from the data. With this we would like to help individuals, institutes and policymakers. The overview is a continuation, the actualization of certain points, and extension of a similar study published two years ago by the Institute for Economic and Enterprise Research (IEER).