One in three companies plans to add jobs next quarter, poll finds
December 17, 2003
Companies in the Richmond area are more optimistic about hiring in the next few months compared with this time last year, according to a survey.
The temporary-staffing company Manpower Inc. said yesterday that its quarterly survey of local companies found that 33 percent of employers expect to add jobs from January to March. That is up from 20 percent one year ago.
The number of local employers expecting to cut jobs declined. About 10 percent of the companies surveyed said they plan to reduce employment, while the number was 17 percent a year ago.
In the latest survey, 47 percent of employers said they plan to maintain their current staffing, and 10 percent are not certain of their plans.
"I think people are still cautious, there's no doubt about that, but certainly it does show an improvement," said Deborah Shapiro, a local spokeswoman for Manpower.
The local results are part of a survey of 16,000 U.S. companies conducted by Manpower, which is based in Milwaukee.
The national survey found that 20 percent of companies expect to hire more people in the first quarter, while 13 percent intend to cut jobs. The rest anticipate no change or are uncertain about hiring prospects from January to March.
"There is more confidence that employers are showing than previously. It's still not robust, but it's steady and improving," said Jeffrey A. Joerres, chairman and chief executive officer of Manpower.
Joerres said most companies are hiring to meet increases in demand for goods and services, but they will not overhire for fear of having to lay off workers later. The first-quarter results, when seasonally adjusted, are an improvement over the fourth quarter. That has not happened in five years, according to Manpower.
"Employers are finally feeling confident enough to slowly start hiring again," said economist Patrick Anderson of Anderson Economic Group in Lansing, Mich.
The nation's unemployment rate edged down to 5.9 percent and U.S. companies added 57,000 jobs in November. Analysts, though, had predicted employers would add about 150,000 jobs in November.
Virginia's unemployment rate was 3.4 percent in October, its lowest since May 2001. The Richmond area's jobless rate was 3.7 percent, down from 3.9 percent one year ago.
Manpower said the employment outlook is better than last year's in most parts of Virginia, especially in Northern Virginia. In Arlington County, 43 percent of employers surveyed said they expected to add jobs. In Roanoke, only 7 percent of employers said they plan to hire, while 83 percent expected no change.
Manpower said Richmond-area job prospects appear best in construction, finance, insurance, real estate and services. Employers in nondurable-goods manufacturing and wholesale/retail trades have mixed hiring intentions, while hiring in other sectors is expected to remain unchanged.
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