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European Edition
25th April 2025
 
THE HOT STORY
European workers remain the least engaged regional workforce
For only the second time in the past 12 years, the global percentage of engaged employees fell, from 23% in 2023 to 21% in 2024, according to Gallup's latest State of the Global Workplace report. For the fifth year in a row, European workers' engagement (13%) was lower than in any other world region. The primary cause for the global decline in engagement was a drop in managers' engagement. While engagement among individual contributors remained flat at 18%, managers' engagement fell from 30% to 27%. No other worker category experienced as significant a decline in engagement as the world's managers. Two types of managers were particularly affected: Young (under 35) manager engagement fell by five percentage points. Female manager engagement dropped by seven points. "Manager engagement affects team engagement, which affects productivity. Business performance - and ultimately GDP growth - is at risk if executive leaders do not address manager breakdown," said Jim Harter, Gallup's chief workplace scientist.
RISK
Rome conference trip cancelled by Tesla exec amid security concerns
A senior Tesla executive has cancelled her attendance at a conference in Rome over fears of protests surrounding the carmaker. Tesla cars, infrastructure and offices have recently become targets of vandalism in several countries, including Italy, in response to CEO Elon Musk's right-wing activism. "Given the recent protests and violence against Tesla, and now in Rome, I've been asked to hold my external presence and travel . . . I won't be able to attend," Samantha Harris, Tesla's Global Sustainability Lead, explained in an email to the European Institute of Innovation for Sustainability (EIIS). She had been due to speak at Regenerative Futures, a conference planned in Rome for May 16-17 by the EIIS.
STRATEGY
ArcelorMittal to cut 600 jobs in France
ArcelorMittal has announced plans to relocate between 1,250 and 1,400 jobs from Western Europe to India or Poland, as part of a strategy to cut costs amid a severe steel crisis. The company will cut around 600 jobs in northern France, including both support and production roles. Jean-Marc Vecrin, a CFDT national representative, described the news as “a devastating blow” that was unexpected. Gaëtan Lecocq, General Secretary of the ArcelorMittal Dunkirk CGT, warned that the plan could destabilise site safety services and lead to further job losses. Bruno Ribo, Managing Director of ArcelorMittal France, said that the decision was difficult but necessary for restoring competitiveness. The French government has pledged €850m in aid to support the company’s future investments, conditional on concrete actions being taken.
Unilever cuts 6,000 jobs in overhaul
Unilever has announced the elimination of 6,000 jobs as part of its restructuring plan, which aims to cut 7,500 roles globally to save €800m. The company is "ahead of plan" with these changes, with €550m of savings expected by 2025. The restructuring includes the spin-off of its ice cream business, which will operate as The Magnum Ice Cream Company from July 1, 2025, with listings in Amsterdam, London, and New York.
WORKFORCE
British Steel cancels redundancy plans
The UK government's decision to put British Steel into public ownership means workers are no longer at threat from mass redundancies. China-based Jingye, British Steel's previous owner, had been consulting on up to 2,700 job losses. However, new chief commercial officer Lisa Coulson has confirmed that officials are "closing the redundancy consultation without action," meaning a "difficult and worrying time" for staff is over. A spokesman for Unite said the union "is pleased that British Steel have come to their senses and realised that job losses are not the way to ensure Britain remains an industrial power."
LEGAL
Undocumented construction workers in Paris are still waiting for papers
In Paris, undocumented construction workers are still awaiting promised residency permits and health insurance over a year after a wildcat strike at the city's Adidas Arena. The CNT-SO union's Rafika Rahmani suspects the delays are a form of retaliation for the strike, which highlighted poor working conditions.  “It's like being in prison in France,” said Adama, a builder who has struggled to find comfortable housing. He sleeps in a room with 11 other people in the eastern suburb of Montreuil. “It's like if you don't have papers in this county, you don't have any value.”
HIRING
AI transforms job application process
The job application landscape is rapidly changing as both applicants and employers increasingly use artificial intelligence for various tasks. Jackie Vedder, 18, shared her experience, saying: “I'm really bad at writing those ‘make-believe' types of texts,” she said. “So, I asked ChatGPT, ‘Write a profile for my resume,' and it hit the mark.” Aaltje Vincent, a job application expert, noted that while AI can ease the job application process, it raises concerns about authenticity. On the employer side, platforms including Welovehumans employ AI avatars to interact with candidates and streamline the hiring process. However, Djurre Holtrop from Tilburg University cautions that many companies lack a strategy for AI in recruitment. Starting next year, the European Union will mandate that applicants disclose AI usage in their application materials, adding another layer of complexity to the evolving job market.
Competition for summer jobs is growing in Finland
Competition for summer jobs in Finland is intensifying as more individuals seek employment amidst a challenging economic landscape. Maiju Karhunen from job search site Duunitori highlighted that "there are increasingly fewer jobs available while many people are looking for work." This year, approximately 22,000 summer job postings on Duunitori have garnered over 13.4m views. The Confederation of Finnish Industries (EK) reports that around 15,000 companies are offering about 110,000 summer jobs.
TECHNOLOGY
AI economic gains 'likely to outweigh emissions cost'
The International Monetary Fund has said that the economic gains from artificial intelligence - global output is expected to be boosted by around 0.5% a year between 2025 and 2030 - will outweigh the costs of rising carbon emissions by the data centres that are needed to run AI models. "Despite challenges related to higher electricity prices and greenhouse gas emissions, the gains to global GDP from AI are likely to outweigh the cost of the additional emissions," the IMF said. "The social cost of these extra emissions is minor compared with the expected economic gains from AI, yet it still adds to the worrisome build-up of emissions," the group said in its report titled "Power Hungry: How AI Will Drive Energy Demand."
INTERNATIONAL
Top Japanese employers scrap employment system that held women back
Japan's largest financial institutions, including Nippon Life Insurance and MUFG Bank, are dismantling outdated practices that have historically hindered women's career advancement. By merging clerical roles - which are predominantly held by women and often lower-paid - with career-track positions, thee firms aim to create more opportunities for women to ascend to senior roles. Mioko Bo from NLI Research Institute said: "HR departments now know they have to change — they are being scrutinised both by potential recruits and investors.” Despite the changes, significant pay disparities persist, with women in finance earning only 62% of men's wages. The shift towards greater diversity is seen as essential for addressing Japan's labour shortages, as highlighted by JPMorgan strategists, who said that promoting diversity can help ease worker shortages that are impacting economic growth. However, challenges persist, with many women expressing concerns about increased responsibilities and work-life balance.
Racial disparities plague US petrochemical jobs
A study from Tulane University highlights significant racial disparities in the US petrochemical workforce. The research indicates that communities of colour face disproportionate pollution while being underrepresented in both high- and low-paying jobs within the industry. “It was really surprising how consistently people of colour didn't get their fair share of jobs in the petrochemical industry,” said Kimberly Terrell, a research scientist with the Tulane Environmental Law Clinic. “No matter how you slice or dice the data by states, metro areas or parishes, the data's consistent.” The study, published in Ecological Economics, suggests that the industry's claims of addressing equity through educational initiatives are insufficient.
OTHER
Sweden relaxes alcohol sales rules
Sweden is set to relax its strict alcohol sales regulations, allowing microbreweries, vineyards, and distilleries to sell drinks on-site to visitors starting in June. This change, part of the "farm sale" law, requires visitors to pay for tours and attend a lecture about the drinks and the effects of alcohol consumption. The law aims to boost the microbrewery sector and tourism while maintaining public health protections. Jan Ericson, a lawmaker from the Moderate Party, expressed support, saying: "In my opinion a far too cautious proposal but a clear step in the right direction." The proposal passed with 154 votes in favour and 129 against, and marks a significant shift in Sweden's alcohol policy.
 


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