A recent survey conducted by Harris Interactive in partnership with Careerbuilder and USA TODAY forecasts a hiring decline in the third quarter most prominent in the Midwest and Northeast regions. Results suggest the recruiting slump was brought on by a mixture of lethargic economic growth, high oil prices, and subdued consumer spending.
About 2,900 hiring managers and HR reps and 7,900 workers in private sector companies responded to the survey, which was conducted May 22 through June 13.
Thirty-four percent of employers reported that they have slowed or ceased hiring this year compared to 2007. Only 19 percent of employers expect the economy will improve in the second half of 2008. A larger percentage, 32 percent, predict that the economy will strengthen in the first half of 2009.
Twenty-six percent of employers said they would increase their number of full-time employees in Q2, which diminished to 24 percent in Q3. On the up side, only nine percent of employers predict a decrease in headcount in Q3, compared to the 13 percent in Q2.
According to the survey, recruiting is stronger in the South and West, with 28 percent and 27 percent of employers expected to add new staff. The Northeast and Midwest forecast 22 percent and 20 percent, respectively.
Nineteen percent of the workers polled said that they are actively looking for a job. Among those not actively looking for jobs, 83 percent of workers said they would be open to a new opportunity.
A shortage of talented workers was also reflected in the survey. Thirty-five percent of employers reported that they have open positions that have proven difficult to fill.
Industries that are hiring include the IT industry, which says it will add 37 percent of employees to the roster, while retail is the lowest at 18 percent.