ALEXANDRIA, Va. — The outlook for December hiring isn’t merry and bright, as service-sector hiring expectations dropped for the month, the Society for Human Resource Management (SHRM) said today in its Leading Indicators of National Employment® (LINE) report.
“Holiday hiring last year was very strong,” said Jennifer Schramm, manager of workforce trends at SHRM. “The decline expected this December in the service sector suggests that employers are a bit more cautious this year about holiday hiring.”
December is the first month since July 2012 that hiring will not increase in the service sector compared with the previous year, LINE reported.
Manufacturing job creation will increase in December compared with a year ago. But less than one-third of employers in both manufacturing and services will expand their payrolls in December.
The SHRM LINE report, based on a survey of human resource professionals, predicts employment activity for the coming month, about 30 days before statistics on employment are available from the U.S. Bureau of Labor Statistics.
“Despite a more subdued hiring outlook for December, recruiting difficulty for jobs of high strategic importance continues in both sectors,” Schramm said.
A net of 13.6 percent of manufacturing respondents had more difficulty with recruiting in November, an increase of 0.2 points from November 2012. A net of 18.7 percent of service-sector HR professionals had more difficulty recruiting in November, up 8.5 points from a year ago. Both net totals represent four-year highs for the month of November.
In addition, Schramm noted, “New-hire compensation also inched up slightly in both sectors, suggesting that employers are starting to feel at least some pressure to increase the compensation packages on offers for hard-to-fill positions.”
The LINE report provides a human resource snapshot of month-ahead hiring expectations and examines new-hire compensation, difficulty in recruiting top-level talent and job vacancies. Respondents include HR professionals from 500 private service-sector companies and 500 manufacturing companies, which together employ more than 90 percent of U.S. private-sector workers.
Media: To read the full SHRM LINE report, visit www.shrm.org/line. Follow SHRM Research on Twitter @SHRM_Research.
The SHRM LINE report is released at 8:30 a.m. Eastern time on the first Thursday of each month. The SHRM employment expectations index describes the same time period referenced a month later by the Bureau of Labor Statistics’ Employment Situation Report.
For more information or an interview with a LINE researcher, contact Kate Kennedy of SHRM Public Affairs at 703-535-6260 or Kate.firstname.lastname@example.org.
About the Society for Human Resource Management
The Society for Human Resource Management (SHRM) is the world’s largest association devoted to human resource management. Representing about 260,000 members in more than 140 countries, the Society serves the needs of HR professionals and advances the interests of the HR profession. Founded in 1948, SHRM has more than 575 affiliated chapters within the United States and subsidiary offices in China, India and United Arab Emirates. Visit SHRM Online at www.shrm.org and follow us on Twitter @SHRMPress.