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Manpower: Hiring not breaking 'sound barrier'

September 07, 2010

U.S. employers' hiring plans for the fourth quarter are up from the same period a year ago but down from the third quarter, according to Manpower Inc.'s (NYSE: MAN) new outlook survey released today.

Manpower's survey found that 15% of U.S. firms plan to add staff in the fourth quarter, 11% plan to cut staff, 71% foresee no change and 3% don't know. The result was a net employment outlook of 4%, or 5% after seasonal adjustment.

In comparison, the seasonally adjusted net employment outlook was 6% in the third quarter and -2% in the fourth quarter of 2009.

"Clearly there are signs of a softening labor market, but when we consider what we are hearing from our clients and by looking at our own business, there is reason to be cautiously optimistic," said Manpower Chairman and CEO Jeff Joerres. "The hiring intentions for the fourth quarter are not enough to break through the labor market sound barrier that we're all eagerly anticipating, as 71% of employers indicate no change in hiring."

More than 18,000 U.S. firms were interviewed for this survey.

In Canada, the seasonally adjusted net employment outlook was 15% for the fourth quarter -- up from 11% in the third quarter and 5% in the fourth quarter of 2009. Manpower interviewed almost 1,900 employers in Canada.