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Recruiting difficulties for key positions continue, reaching four-year high in May
Hiring rates will reach four-year highs for the month in the manufacturing and service sectors, according to the Leading Indicators of National Employment® (LINE) Report, which was released today by the Society for Human Resource Management (SHRM).
According to the report, a net of over half of manufacturers (57 percent) and more than two in five service-sector companies (43.6 percent) will add jobs in June.
HR professionals’ recruiting challenges for key positions also hit a four-year high for May in both the manufacturing and service sectors. Job vacancies for hourly job openings also increased last month compared with a year ago.
“Increased employment expectations may signal a move into a more active recruiting environment,” said Jennifer Schramm, manager of workforce trends at SHRM. “In this case, it is not surprising that recruiting difficulty rose in both sectors in May compared with the same time 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 for the same time frame are available from the U.S. Bureau of Labor Statistics.
Overall, the report found that most organizations are still keeping new-hire compensation rates flat. A net total of 9.7 percent of manufacturing-sector respondents reported increasing new-hire compensation in May, compared with a net total of 6.7 percent of service-sector respondents, representing a slight decline of 0.3 and 1.2 in manufacturing and services, respectively, when compared with the same time last year.
“Once again, despite the rise in employment expectations and recruiting difficulty, we are not seeing any significant accompanying rise in the compensation packages being offered to new hires,” Schramm said.
The LINE Report provides a snapshot of month-ahead hiring expectations and examines difficulty in recruiting top-level talent, new-hire compensation and job vacancies. Respondents include HR professionals from private service-sector companies and manufacturing companies. Together, these sectors employ more than 90 percent of U.S. private-sector workers.
Media: To read the full SHRM LINE Report, visit www.shrm.org/line. The Jobs Outlook Survey Report is available at www.shrm.org/jos. 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 Vanessa Gray of SHRM Public Affairs at 703-535-6072 or Vanessa.Gray@shrm.org.
About the Society for Human Resource ManagementFounded in 1948, the Society for Human Resource Management (SHRM) is the world’s largest HR membership organization devoted to human resource management. Representing more than 275,000 members in over 160 countries, the Society is the leading provider of resources to serve the needs of HR professionals and advance the professional practice of human resource management. SHRM has more than 575 affiliated chapters within the United States and subsidiary offices in China, India and United Arab Emirates. Visit us at shrm.org and follow us on Twitter @SHRMPress.
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