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ManpowerGroup finds 21% to add staff, Q4 net employment outlook holds steady

September 12, 2017

ManpowerGroup Inc.’s (NYSE: MAN) new Employment Outlook Survey found 21% of US employers plan to add staff in the upcoming fourth quarter. The percentage is down from 24% who said they planned to add staff in ManpowerGroup’s third-quarter survey and 22% in the second quarter.

The fourth-quarter survey also found 6% plan to decrease staff, 71% expect no change in staff and 2% are undecided about their hiring intentions.

Overall, the responses result in a net employment outlook of 17% when seasonally adjusted — unchanged from both the third- and second-quarter outlooks and also relatively stable when compared to one year ago. This marks the 13th consecutive quarter with an outlook of 15% or stronger.

The industries reporting the strongest hiring intentions are leisure and hospitality at 28%; professional and business services at 22%; wholesale and retail trade at 20%; manufacturing durable goods at 18%; and transportation and utilities at 18%.

Two sectors — “other services” and professional and business services — reported the strongest hiring intentions since they were first analyzed nine years ago. And manufacturing hiring is expected to continue its growth trajectory, with employers reporting the strongest forecast since 2007.

“Technological disruption is transforming manufacturing into a high-tech, high-skilled industry,” said Michael Stull, senior VP, Manpower North America. “At the same time, demand for ‘Made in America’ continues to grow and organizations are stepping up their manufacturing efforts here on US soil. From New York to New Mexico, manufacturing companies are looking for increasingly specific skills.”

All regions in the US reported positive fourth-quarter hiring plans. Hiring intentions increase by four percentage points in the Northeast and are relatively stable in three regions. Compared with this time one year ago, hiring prospects are slightly stronger in the Northeast and remain relatively stable in the other three regions, with employers in the South and Midwest reporting no change year-over-year and employers in the West reporting a decrease of one percentage point.

Employers in Delaware, North Carolina, Wisconsin, Minnesota, Montana, Oregon, South Carolina and Utah report the strongest net employment outlooks.

ManpowerGroup’s employment outlook survey includes responses from more than 11,500 US employers.

Canada hiring trends

Up north, Canadian employers anticipate a “cautiously optimistic” hiring climate in the fourth quarter, with employers in the public administration sector reporting the strongest job prospects, according to ManpowerGroup’s data for Canada.

The Canada survey found 12% of employers expect to increase staffing levels, 6% anticipate cutbacks, 80% forecast no change and 2% are unsure about hiring plans. This results in a net employment outlook of 9% on a seasonally adjusted basis, an increase of one percentage point from the outlooks for both the third-quarter and the same quarter of last year.

“Heading into the fourth quarter of 2017, we’re seeing a general trend of modest growth,” said Darlene Minatel, VP and general manager, Manpower Canada Operations. “Most of the hiring activity is expected to focus on Quebec, Ontario and British Columbia, however there are still some bright spots in the rest of Canada, led by an anticipated moderate uplift in the oil and gas sector.”

ManpowerGroup’s employment outlook survey data include responses from more than 1,900 Canadian employers.