A renewed sense of optimism in hiring is revealed in CareerBuilder and USA Today's latest nationwide survey of employers. For the third consecutive quarter, more employers are projecting they will increase headcount in the next three months while fewer employers are expecting staff cuts. The survey was conducted by Harris Interactive from February 10 to March 2, 2010. More than 2,700 hiring managers and human resource professionals across industries participated.
Activity on CareerBuilder.com also shows evidence that employers are ready to initiate growth strategies once again. "The number of job listings on CareerBuilder.com have increased both sequentially and year over year in 2010," said Matt Ferguson, CEO of CareerBuilder. "The recovery in the job market will take some time as employers face new market realities and gauge demand, but we expect to see gradual improvement throughout the year. The rise in online job listings and resurgence in temporary hiring are good leading indicators for stability in the market and the creation of more permanent jobs down the road."
Hiring in Q1 2010
Twenty-three percent of employers reported they increased their full-time, permanent staff in the first quarter. This is up from 13 percent in the same period last year and up from 20 percent in the fourth quarter. Twelve percent decreased headcount, down from 26 percent year over year and down from 13 percent in the fourth quarter. Sixty-four percent of employers reported no change in their number of full-time, permanent employees while one percent were undecided.
Hiring in Q2 2010
Twenty-three percent of employers plan to add full-time, permanent headcount in the second quarter while 8 percent plan to downsize staffs. Sixty-four percent anticipate no change while 6 percent are undecided. Looking at actual hiring for the second quarter in 2009, 18 percent of employers reported they had hired full-time, permanent staff while 17 percent reported they had decreased staff.
Six Employment Trends for Q2 2010
Hiring By Region in Q2 2010
Companies in both the Northeast and the West are tracking above the national average of employers who said they plan to hire in the second quarter. One-quarter of employers in the Northeast (26 percent) and West (25 percent) said they plan to add full-time workers in the second quarter compared to 21 percent in the South and 20 percent in the Midwest.
While plans to decrease headcount in the second quarter are down from 2009 averages across all regions, 10 percent of employers in the Northeast plan to trim staff levels followed by 8 percent in the Midwest, and 7 percent in both the South and West.
Compensation in Q2 2010
Forty percent of employers expect there will be no change in salary levels in the second quarter. Thirty-seven percent expect an increase of 3 percent or less. Thirteen percent said they expect their average raises will be between 4 and 10 percent, and 2 percent predict an increase of 11 percent or more. Four percent anticipate a decrease in salaries.