Following Wisepath’s outstanding success at Didacta in Bari, Italy, and in anticipation of our upcoming participation in JobOrienta in Verona, we’re dedicating this month’s newsletter to examining the Italian job market.
I encourage everyone, including non-Italian readers, to explore both the newsletter and the Italian articles linked below, as the current state of the Italian labor market offers a glimpse into the challenges that could soon affect other markets unless they act swiftly.
Each year, the HR Observatory at Politecnico di Milano presents a comprehensive analysis of the Italian job market, and this year’s findings depict a situation bordering on crisis.
From the perspective of job availability, the Italian market appears robust, suggesting favorable conditions for job seekers. Paradoxically, however, despite the fact that one in two companies needs to grow their workforce for 2024, 88% report hiring difficulties—a 63% increase since the rise of GenAI. Of these, 57% face a lack of candidates with adequate technical skills, while 38% struggle with sourcing essential soft skills.
This issue isn’t simply a shortage of candidates but rather a lack of appeal in the job offers themselves. In fact, 54% of offers are rejected, and among accepted offers, 17% of new hires leave within a few months. Employee retention is a particular issue for employers as younger workers change jobs every 18 months, seeking better work environments. Notably, 65% of employees under 27 have switched jobs in the last year or are considering doing so in the coming months.
These trends extend beyond younger professionals. In the Italian workforce overall, 42% have changed jobs recently or plan to, and of those who have, 56% regret the switch (a 37% increase over last year). Given this data, it’s clear why only 9% of Italian workers report job satisfaction.
This disconnect highlights a structural gap between candidates’ expectations and what companies offer—not only in terms of salary but also in workplace quality and work-life balance. For instance, in 2024, the primary reason for job changes across Italy is now "physical and mental well-being" (36%), surpassing salary as the top factor at 35%.
To meet these challenges, the work world needs structural changes. Companies must place greater focus on human skills and the personal needs of their workforce; increasing salaries alone is no longer enough. Meanwhile, professionals need to build skills that will help them navigate uncertainty, adapt to change, and engage with the AI revolution. This will prepare them to excel in companies that are already fostering workplaces where people thrive.
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