WorkForce21
Manpower 2nd Quarter 2000 Hiring Report
US Companies Expect to Boost 2nd Quarter Hiring, Survey Says
Washington, Feb. 28 (Bloomberg) -- U.S. firms plan to hire more people in the second quarter than any other quarter in more than 21 years, a private survey says.
Thirty-two percent of companies plan to hire more people in April, May, and June, while 6 percent said they will hire fewer people, according to a survey of almost 16,000 businesses by Manpower Inc. That is the highest overall hiring level since the third quarter of 1978, the company said. Fifty-eight percent of companies said their payrolls would remain the same, while 4 percent were undecided.
``The personnel shortage continues to plague companies in all industries and geographic regions,'' said Jeffrey Joerres, Manpower's president and chief executive. ``Their search for new employees will take them to corners rarely explored and offer opportunities to many more workers,'' Joerres said.
Thirty-eight percent of durable goods makers said they would add workers in the second quarter, the highest reading in the survey's 24-year history. Six percent of durable goods makers anticipate reducing their workforce.
Orders for business equipment ranging from computers to machine tools rose 12.3 percent in January, the highest jump in 15 years, the Commerce Department said Thursday. Orders for aircraft declined, which analysts said masked the sector's overall strength. Total durable goods orders were down 1.3 percent last month.
Construction, Wholesale, Other Hiring
Even with durable goods setting a survey record, construction was the survey's most bullish industry, with 39 percent of those firms planning to expand hiring. Six percent are planning to reduce second-quarter hiring.
Thirty-four percent of wholesale and retail trades firms intend to add workers in the second quarter, while 7 percent expect to make cutbacks.
Workers will be added by 30 percent of non-durable goods makers, while 6 percent of firms in that industry plan to lay them off, according to the survey.
Twenty-seven percent of transportation and public utilities firms plan to hire more workers, and 6 percent plan to reduce their workforces.
In the second quarter of 1999, 29 percent of firms surveyed said they would increase hiring, 6 percent said hiring would decrease, and 61 percent said their payrolls would remain the same.
Labor Market Shortage
The survey shows that companies continue to see good economic conditions ahead and will continue to add workers as quickly as they can find them. The labor market ``has failed to satiate staffing needs'' over the past three years, the report said.
The economy added 857,000 non-farm jobs in the fourth quarter of last year and a larger-than-expected 387,000 jobs in January. The unemployment rate fell to 4 percent last month, its lowest level since reaching 3.9 percent in January 1970.
With the labor market adding so many workers, Federal Reserve Board Chairman Alan Greenspan has hinted he'll raise interest rates this year if the dwindling supply of workers threatens to raise wages and increase inflation.
Feb/28/2000 0:01
Demand for Workers Should Stay High
.c The Associated Press
NEW YORK (AP) - Nearly one-third of American companies expect to hire more workers this spring, the strongest demand in more than two decades, according to a survey being released Monday.
The survey of second-quarter hiring plans, conducted by the temporary staffing agency Manpower Inc., indicated especially strong demand for workers in financial services and in manufacturing durable goods.
``The personnel shortage continues to plague companies in all industries and geographic regions,'' said Jeffrey Joerres, president and chief executive of Milwaukee-based Manpower. This, he said, presents ``opportunities to many more workers.''
The report, based on a survey of 16,000 businesses nationwide, showed that 32 percent will need additional staff in the second quarter, while 6 percent plan cutbacks. Some 58 percent expected their work forces to be unchanged, and 4 percent were uncertain.
Those were the strongest figures since the third quarter of 1978, Manpower said.
A year ago, 29 percent said they would hire staff, while 6 percent predicted cuts, 61 percent expected no change and 4 percent were uncertain.
Expected hiring in durable goods industries, which produce cars, appliances and other long-lasting products, totaled 38 percent of those surveyed, matching the previous record achieved in the second quarter of 1998, Manpower said. It said that 28 percent of finance, insurance and real estate businesses said they expected to hire more workers in the April-June period.
Regionally, the strongest demand for workers was in the West, where 35 percent of companies surveyed said they expected to be hiring in the second quarter, while 6 percent said they would reduce employment. Fifty-four percent said they expected no change, and 5 percent were uncertain.
Manpower has conducted quarterly employment surveys for 24 years. The margin of error in the telephone survey, which includes companies in 485 cities, is plus or minus 2 percentage points.
AP-NY-02-28-00 0002EST
U.S. job demand seen sound in second quarter-Manpower
MILWAUKEE, Wis., Feb 28 (Reuters) - Nearly one in three U.S. companies will hire more workers in the upcoming second quarter as tight labor conditions persist and demand for workers is at the highest level in more than 20 years, a survey of nearly 16,000 companies released on Monday said.
The quarterly poll of the companies by temporary-employment company Manpower Inc. <MAN.N> found that 32 percent needed additional staff, 6 percent said they would reduce employment, 58 percent plan to remain staffed at current levels, and 4 percent are undecided.
In the year-ago quarter, 29 percent of companies surveyed said they planned to add staff, 6 percent expected cutbacks, 61 percent saw no change and 4 percent were uncertain.
"As expected, the personnel shortage continues to plague companies in all industries and geographic regions," Jeffrey Joerres, Manpower's president and chief executive officer, said in a statement. "Their search for new employees will take them to corners rarely explored and offer opportunities to many more workers."
Manpower said that the construction industry leads the survey in terms of demand for labor, but cited durable goods manufacturing as most significantly beyond seasonal expectations. Durable goods are such items as home appliances which have a long life-span.
Among construction firms surveyed, 39 percent plan to hire more workers in the second quarter -- a period which encompasses April to June 2000 -- while 6 percent expect job cuts.
According to the survey, 38 percent of durable goods manufacturers expect to hire more workers while 6 percent see employment declines.
Demand for workers by nondurable goods manufacturers has followed a steady seasonal pattern for the past year, with 30 percent saying they plan further hiring in the second quarter and 6 percent see job loss, Manpower said.
In the finance, insurance and real estate segment, Manpower sees the most optimistic outlook since 1979, with the opportunities for job seekers seen best in the Northeast and West. Of the companies polled, 28 percent see increased employment, while 5 percent see decreased employment.
11:15 02-28-00