Hiring difficulties are decreasing in the euro zone. Why? What consequences?

Euro-zone companies’ hiring difficulties were very significant in 2018, but have been declining since then. A reduction in hiring difficulties should lead to a reduction in wages and labour costs, thereby helping keep inflation low. Wages have slowed down slightly since 2018. But why are euro-zone companies’ hiring difficulties decreasing? Possibilities include: A slowdown in job creation caused by worsening growth prospects, which would be bad news; A rise in the participation rate (the part of the working-age population in the labour market), which would be good news. We see that it is explained by both factors .