The emergence of a labor shortage is seen as a sign of an overheated economy.

Literal

Labor-force shortage [possessive-の] occurrence [topic-は] economy [possessive-の] overheating sign [quotative-と] is-viewed.

Dense economic vocabulary: 労働力不足, 過熱兆候. ~と見られている ('is viewed as') uses the passive of 見る. Formal analytical register.