The National Association for Business Economics’ October 2017 business conditions survey indicates employment conditions fell in the third quarter the lowest level in more than a year.

“Labor markets remain tight, with 26% of panelists reporting that their firms have taken steps to address difficulty in hiring, but hiring expectations for the fourth quarter remain stable,” said Survey Chair Emily Kolinski Morris, chief economist at the Ford Motor Co. “Policy developments, including those affecting the North American Free Trade Agreement, remain on the panel’s list of concerns, but continue to have limited impact on business decision-making with regard to hiring or investment.”

NABE’s survey included 85 of its members — which include business economists and those who use economics in the workplace — and was conducted between Sept. 21 and Oct. 4, 2017.

The share of respondents reporting rising employment at their firms over the past three months fell to 25% from 34% in NABES’s last business conditions survey released in July, while the share reporting a decrease in employment rose to 16% in the new survey from 8% in the last one. Respondents reporting no change in employment in the past three months edged up to 59% from 58%. This resulted in the index rising by a net of 10, down from an index of 25 in July and the lowest level in more than a year.

Looking forward, the share of respondents who anticipate their firms will add workers in the next quarter fell to 26% in October from 28% in the July survey, but the share expecting job reductions also edged down to 8% from 10%. This results in a net rising index of 18, unchanged for a third consecutive survey.

The recent hurricanes appear to have had relatively limited impact on respondents’ firms, with more than 80% of panelists reporting no anticipated effect on their business in the third or fourth quarters due to Hurricanes Harvey and Irma, according to Morris.

Expectations of wage increases over the next three months have held steady since the July survey.

The panel’s outlook for growth in real GDP has improved materially from the July survey, and surpasses the relatively positive assessments in the April and January surveys. Eighty-four percent of panelists now expect real GDP growth in excess of 2% in the coming four quarters.