Analysis of labour demand using job postings

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This pilot project highlights the demand for labour in the two case areas, the IT and telecommunications; and the iron, metal and auto sectors. In addition, it is an important objective to gather experience using job posting data as a data source to shed light on labour demands and point out where job posting data can in the future complement the existing analyses of labour demand in Denmark.

In collaboration with Jobindex, Højbjerre Brauer Schultz has developed a database of job postings in Denmark. The database contains job posting from 2008 and is updated with approx. 15,000 new job postings on average per month.

With the help of text analysis, the most important information is extracted from each job posting. It includes job titles, requirements for qualifying education, other skill requirements and company name. Based on the company name, data is then linked to the Central Business register, where additional information is extracted about the size, industry and geographical location of the company.

The data is used to generate descriptive statistics describing the development of demand in labour within the two case areas.

The project has been prepared for the Danish Agency of Labour Market and Recruitment.

Main results

Demand within the IT and telecommunications sector fell relatively sharply in the wake of the financial crisis. From making up approx. 4.5% of all job postings in 2008, the share of job postings in the IT and telecommunications sector fell to 3% in 2009. The proportion then increased, and since the end of 2010 this proportion has remained fairly stable at approx. 5.5%.

Within the IT and telecommunications field, technical competencies are most in demand for the group consisting of system development, programming and design, while general competencies are most in demand among other professional groups.

Demand in the iron, metal and auto sector fell sharply in the wake of the international financial crisis. From just under 4% of all job postings before the crisis, the share of job postings in the iron, metal and auto sectors fell below 1.5% until the end of 2009. Subsequently, the proportion gradually rose until 2011, when it was just under 3%, and from there it has remained constant until today. In contrast to the IT and telecommunications sector, the relative demand in the iron, metal and auto sectors is thus lower today than prior to the financial crisis.

In the iron, metal and auto sector, there is clearly the greatest demand for competences within professional competences related to the sector and personal competencies. By contrast, the least sought-after competence in job postings is ICT competencies.

In conclusion, the demand for labour in both case areas follows economic fluctuations. However, the IT and telecommunications sector account for a larger share of the total demand for labour than before the financial crisis, while the iron, metal and auto sector constitutes a smaller share.

The study is commissioned by the The Danish Agency for Labour Market and Recruitment.

Links

Højbjerre Brauer Schultz (2016): "Analyse af arbejdskraftefterspørgslen ved hjælp af jobopslag".

CONTACT

ANDREAS HØJBJERRE

ANDREAS HØJBJERRE

PARTNER, M.SC. (ECONOMICS)