The Bureau of Labor Statistics recently announced that an unexpected 114,000 jobs were created last month, but thankfully, the good news on the job front doesn’t look like it’ll end there with the results of a recent survey finding 58 percent of companies intend to increase hiring within the next 12 months.
26 percent of companies planning to expand their workforce are hiring workers immediately, though 23 percent of companies surveyed who WANT to start hiring right away are delaying the expansion of their existing workforce at present.
When asked what “outside factor” would make them most likely to increase their U.S. hiring, 39% of companies said that the end of the fiscal cliff (the anticipated economic slowdown associated with the expiration of laws giving tax breaks to employers on December 31st) would make them more willing to commit to adding headcount. However, any decision on the fiscal cliff is highly unlikely to come before the federal election in November so many companies may choose to “wait and see” before making a decision on hiring.
As a result, businesses wary of committing to increased headcount but in need additional support will most likely hire temporary workers in the fourth quarter rather than full time workers. This strongly held view helped lift staffing company shares in the U.S. last Friday.
Traditionally, the holidays see a rise in temporary jobs with national retailers like Walmart, Toys R Us, Macy’s and Kohls contributing hundreds of thousands of jobs over the season. This year is no exception with an anticipated 900,000 temporary positions set to be created across the country in the coming weeks.
Holiday hiring is anticipated to be at its highest in 5 years, with 36% of retailers expecting to hire more seasonal workers this year than last. However, with the election and the economy hanging in the balance, we can expect the traditional fourth quarter growth in temporary retail hiring to be supplemented with a surge in temporary job growth from across all sectors of corporate America.
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