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In June, hiring rates are expected to rise in both sectors compared with a year ago
Note: Annual net change is calculated by subtracting the net increase of the same month one year ago from the net increase of the current month.
Source: June 2017 SHRM LINE Report
Compared with May of last year, in May 2017 the recruiting difficulty index rose by 8.8 points in the manufacturing sector and 12.7 points in the service sector. The LINE new-hire compensation index reported below suggests firms may be responding to this increased recruiting difficulty by increasing starting wages to attract highly qualified individuals to fill key positions.
In May, new-hire compensation packages were higher than those offered a year ago
Vacant Positions in Exempt Employment
In May, there were more salaried job openings compared with a year ago
Vacancies are defined as open positions that employers are actively trying to fill. LINE data cover exempt vacancies, or primarily salaried positions, and nonexempt vacancies, which are mostly hourly jobs. Changes in the number of job vacancies can be one of the earliest indicators of a shift in the balance between labor supply and demand. Typically, exempt employment fluctuates by smaller rates than nonexempt employment during economic downturns and expansions.
In May, a net total of 15.9 percent of manufacturers reported increases in exempt vacancies (27.8 percent reported more vacancies, 11.9 percent reported fewer), up 0.9 points from May 2016. In the service sector, a net total of 20.2 percent of respondents reported increases in exempt vacancies in May (29.9 percent reported more vacancies, 9.7 percent reported fewer), up 4.7 points from May 2016.
Vacant Positions in Nonexempt Employment
Need data on what’s really happening in the job market? The SHRM LINE Employment Report covers the service and manufacturing sectors on key areas for recruiting each month. The report includes:
Do you have your SHRM-CP or SHRM-SCP? Earn up to 20 PDCs by using LINE data to advance your organization. Refer to page 10 of the recertification handbook.
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For questions on LINE® data please contact SHRM Research at (703) 535-6301 or LINE@shrm.org. Members of the media should contact SHRM Media Affairs at (703) 535-6273, (703)-535-6072 or email@example.com.
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