ALEXANDRIA, Va. — Hiring will be stronger in February, with more than two in five manufacturers and service-sector companies planning to add to their payrolls during the month, the Society for Human Resource Management (SHRM) said today in its Leading Indicators of National Employment® (LINE) report.
“Reported layoff rates are down compared with a year ago,” said Jennifer Schramm, manager of workforce trends at SHRM. “And employment expectations have reached four-year highs for the month.”
A net of 47.4 percent of manufacturers will add jobs in February. The sector’s hiring index will increase by 0.2 points compared with a year ago. A net of 44.8 percent of service-sector companies will grow payrolls in February. The index will increase by 11.7 points compared with last year.
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 positive hiring outlook, recruiting difficulty changed little in January compared to last year. “For now, HR professionals are not reporting serious difficulty filling their organizations’ most strategic job openings,” Schramm said.
A net of 7.6 percent of manufacturing respondents had more difficulty with recruiting in January, a decline of 0.3 points from January 2013. A net of 6.0 percent of service-sector HR professionals had more difficulty recruiting in January, down 2.6 points from a year ago.
“Similarly, new-hire compensation stayed fairly flat in January,” Schramm said. “It will be interesting to see if improved hiring rates become a steady trend in 2014 and if this will eventually translate into more difficulty filling key positions and a boost in the compensation packages being offered to new hires.”
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.