Recruitment Survey based on job postings – June 2019 – method and results

1. Recruitment Survey based on job postings– June 2019 – method and results Præsentationstitel

2. Recruitment survey - the previous method • Since 2007, the recruitment survey has been a cornerstone of the Ministry of Employments monitoring of the labour market • In the survey, more than 20,000 companies were contacted biannually, with approx. 15,000 answers as a result (response rate 70-75) • Each company received a letter that invited them to answer a questionnaire at a website (followed up by telephone). Challenges: • Few of the companies contacted had actually been in a recruitment situation during the period considered, causing unnecessary disturbance of many companies • Relatively heavy respondent burden for companies to answer the survey • The survey is not sufficiently targeted/effective. Over-representation of numerically large job titles and less good coverage of minor job titles

3. The principles of the new method Reporting Job posting data Categorization Text analysis Survey The labour market balance + CRAWLING

4. Comparison of former and new method

5. Nationwide results- June 2019 Præsentationstitel

6. Main results of the study • In June 2019, the number of unsuccessful recruits was 62,640 (measured over the past six months). In February 2019, the number of unsuccessful recruits was 70,300. This reflects a continuous, but diminishing, tightening of the labor market. • 20% of the companies' recruitment attempts were unsuccessful (the unsuccessful recruitment rate) in June 2019 (measured over the past six months). The unsuccessful recruitment rate in February 2019 was 22%. • On average, half of the companies unsuccessful recruitment attempts ended with the position not being occupied, while half of the companies' unsuccessful recruitment attempts were occupied with a different profile than requested. • There are only minor variations between the individual regions in the unsuccessful recruitment rate. The June 2019 results show that the least is in Funen and the largest in the Capital. • There are large differences between the industry's recruitment challenges - generally the least in the public and the largest in the private sector. There are also large differences between RAR areas within the same industry.

7. Development in the rate of unsuccessful recruitments (1,000 people)

8. Development in the rate of unsuccessful recruitments (FRR)

9. The unsuccessful recruitment rate (FRR) broken down by vacant positions and positions occupied by another profile (substitution), by industry Hotel and restaurants Construction Agriculture, forestry and fishing Manufacturing Transport Trade Social and health care Cleaning and other professional services Culture and leisure Countrywide rate Real estate Knowledge services Information and communication Other services etc. Finance and insurance Public administration, defense and police Unspecified activity Other Education

10. The unsuccessful recruitment rate (and number of unsuccessful recruitments) in RAR areas Country rate 20% (62,640) RAR North Jutland 21% (5,980) RAR Bornholm 19% (210) RAR East Jutland 18% (9,420) RARWest Jutland 21% (3,190) RAR Capital 21% (24,370) RAR Zealand 21% (8,800) RAR Funnen 17% (3,600) RAR South Jutland 19% (7,080)

11. Unsuccessful recruitment rate (FRR) by industry and RAR areas

12. Unsuccessful recruitment rates for occupations with the greatest job turnovers

13. Information about the research Background and purpose of research • The recruitment survey is provided by Højbjerre Brauer Schultz for the The Danish Agency for Labour Market and Recruitment. • The aim of the research is to shed light on the nature and characteristics of companies’ recruitment challenges in Denmark. • The premises of the survey was to target companies that utilized electronic job postings. These companies were asked whether the recruitment was successful or unsuccessful. • The survey defines unsuccessful recruitments within companies with the following criteria; positions that are not occupied at all or positions that have been occupied, but with an employee who did not have the required qualifications. • The new method of conducting the survey entails that the respondent is the same person who was responsible for the job posting. This new method enables simplification of the survey which allows for concrete data collection and precise results. • The survey probed some of the following questions: • To which degree was the recruitment attempt unsuccessful? • How many people were involved? • Has the unsuccessful recruitment had any consequences when regarding orders or completion of certain tasks? Data collection Companies and business responded via internet or telephonic interviews. The response rate was at 75 percent. The quarterly report is based off of approximately 17.000 responses from the recruitment efforts spanning from January 2019 until June 2019. The companies were asked to provide a status update regarding their recruitment efforts three months after they initially published the job posting. The participating companies were chosen in compliance with a stratified sampling plan selected to cover as many job titles as possible within each RAR area. The results of the sample survey were subsequently weighted and scaled to include the entire labor market in Denmark. This means that the distribution of recruitment attempts is representative of the entire labor market. Sampling uncertainty There is a statistical uncertainty related to sample selection and the scaling of the results (the number of unsuccessful recruitments) This uncertainty means that the unsuccessful recruitment rate at a national level with a 95 percent probability lies within +/- 0.5 percent points of the total number of unsuccessful recruitments.