Hiring Levels in 2008

We are busy preparing for our Year-end Holiday Party today. It’s an exciting time of year when most people are reflecting on the year past and make projections or resolutions for the upcoming one. Many of our readers are located internationally, but this post pertains mostly to the US market.A recent survey conducted by Milwaukee-based global staffing firm Manpower (MAN) found that 12% of companies expect to reduce employment in the three-month period starting in January, while 22% plan to add jobs. Fewer than a quarter of employers expect to add positions in the first quarter of the new year, almost the same as a year ago, according to this survey of 14,000 companies.The numbers show a slight drop from hiring intentions during the same quarter last year, when 23% of employers said they’d increase hiring and 11% expected a decrease. They also show more pessimism than last quarter, when 27% of employers planned to increase hiring while only 9% said they planned a decline.The numbers, overall, do not represent big changes.

Construction companies expect one of the larger drops, with 23% of employers saying they expect to curtail hiring, compared with 16% in the same quarter last year. Seventeen percent of employers in this sector say they expect to increase hiring, down slightly from 18% last year.

Wholesale and retail saw a slight drop, with 21% of companies saying they planned to increase hiring, down from 23% last year. Eighteen percent plan a decrease, up from 17% last year.

In the finances and real estate sector, plans to increase hiring remained steady at 21%. But the number of companies in the sector that planned to hire less than last year grew to 9% from 7%.

Hiring levels are also projected to vary regionally.

Nineteen percent of companies in the Midwest reported they would increase hiring in the first quarter, down from 26% during the previous one. Thirteen percent of companies were planning a decline, up from 9% last quarter.

The West continues to have the best outlook, with 29% of employers saying they planned to increase hiring, down from 33% last quarter. Eleven percent of employers said they planned to decrease hiring, up from 10% last quarter.

The South dipped slightly, with 23% of employers expecting to increase hiring next quarter, down from 26% last quarter. Eleven percent expected to decrease hiring, up from 8% last quarter.

The Northeast also saw a dip, with 21% of companies saying they planned to increase staff, down from 25% last quarter. Thirteen percent of employers in that region said they planned a decrease, up from 10% last quarter.

The survey doesn’t ask why employers choose to increase, decrease or maintain their staffing levels. The mortgage crisis or possibility of a recession could be reasons, but the survey can’t say for sure.

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Posted on December 18, 2007 by Manhattan Review

This entry was posted in Career and tagged , , , , , , . Bookmark the permalink.

3 Responses to Hiring Levels in 2008

  1. celpjefscycle

    Comment posted on January 12, 2008. Bookmark the permalink.

    Thanks for information.
    many interesting things
    Celpjefscylc

  2. MBrody

    Comment posted on January 15, 2008. Bookmark the permalink.

    These statistics are helpful, particularly how the numbers vary regionally and seem at this point only to indicate a slight, not a severe decline.

    What do these numbers mean for someone who is interested in beginning an MBA program in 2008?

    Will companies decrease the number of summer interns they hire in 2009?

    What has happened in the past during times of recession for business school students?

  3. PieceofPIE

    Comment posted on January 21, 2008. Bookmark the permalink.

    I think numbers mean: Its OK. You’ll find a job.