In the second quarter of 2007, the number of jobs for employees had grown by 206 thousand relative to the same quarter last year. The increase is more substantial than in previous quarters. In the second quarter, there were an unprecedented 7.8 million jobs in the Netherlands. Wage costs per labour year were 1.7 percent up on one year previously in the second quarter. Wage costs over the first six months of 2007 rose more slowly than in 2006, according to provisional figures published by Statistics Netherlands,
Job growth similar to latter half of the 1990s
The job growth rate matches that of the latter half of the 1990s. In the period 1995-2000, the average annual job growth also exceeded 200 thousand. The number of jobs started to grow again in the first six months of 2005 and the growth rate has accelerated ever since. The 2.7 percent growth rate of the second quarter is the highest of the past seven years.
Business services sector accounts for half of job growth
Growth is recorded across almost the entire private sector. Business services accounted for half of the increase (104 thousand jobs), predominantly temp jobs. The thriving economy creates extra jobs and many employers initially hire temps to fill these vacancies. The jobs filled by temps are registered by the temp agencies, not by the companies they work for. One in five temps work in manufacturing industry.
The sector trade recorded a remarkable job growth to 34 thousand. With 27 thousand extra jobs, the care sector makes a significant contribution to overall job growth. In the public sector and manufacturing industry, job growth was next to nil. For the sector manufacturing industry this means that the decline, which has continued for years came to an end.
Quarterly job growth over 50 thousand
Job growth is clearly season-related. After correction for seasonal effects, job growth in the second quarter was 52 thousand up on the first quarter of 2007. The upward trend of the two previous quarters, when the number of jobs rose by more than 50 thousand each quarter, is continued. Employment has grown continuously for two years now. In the course of 2006, job growth has obviously accelerated.
Modest increase wage costs in first six months
Wage costs per labour year were 1.7 percent higher in the second quarter of this year than in the same quarter last year. The increase equals that of the first quarter, but is below the average over 2006. The slowdown is mainly due to a smaller rise in collectively negotiated wages. Employer-paid social contributions changed only marginally.