Unemployment Dropping | Positive Outlook

October 25th, 2012

Economic uncertainty, fueled by many factors such as the current election season, extreme heat and weather, health care reform and global fluctuations, has caused estimates of expected growth to decrease. Several polls taken recently reflect a “gloomy outlook” (per the Washington Times) in business for the third quarter, yet other organizations are showing numbers that oppose this bleak projection.

According to the third quarter estimates from the Survey of Professional Forecasters, the interpretations for growth in the third quarter–and over the next four–have been revised to reflect a smaller margin of increase. Additionally, unemployment is projected to drop to 7.0 percent by 2015, up from last quarter’s prediction.

However, these numbers are in contrast to the recent ManpowerGroup survey which indicates that CFOs’ expectations for growth are creeping higher and higher each quarter, with the third quarter net employment outlook at +11. In fact, the ManPowerGroup survey stated, “For the first time since 2008, the survey shows two consecutive quarters of positive outlooks in all industries across all four regions surveyed.” Jonas Prising, president of ManpowerGroup, had this to say about the tentative growth CFOs are projecting:

Despite tumultuous global economies, election uncertainty, record heat waves, health care reform and other challenges, employers indicate that steady but cautious hiring progress will continue through the end of the year…Employers have shown remarkable consistency in their careful approach to staff growth. The data shows that companies are very cautious about adding staff, but still have the intention to increase their workforces into the fourth quarter.

Additionally, numbers from the Robert Half Financial Hiring Index corroborate the more optimistic findings of the ManpowerGroup:

Despite the relatively static hiring outlook, CFOs expressed optimism regarding their businesses. Nearly 6 out of 10 (59 percent) executives said they are somewhat confident about their growth prospects for the fourth quarter; 36 percent are very confident.

If you are looking to assemble an ideal group of people to grow your business, or if you are interested in learning about ways we can help you expand your current staff, contact us today!