Employment Outlook Survey Q1 2017 shows employers cautious but not spooked
The strong ‘Transportation & Utilities’ employment market segment is forecast to cool somewhat in the coming quarter, according to recruitment firm ManpowerGroup.
This will occur as, more generally, employers gauge the economy’s direction and hedge any hiring bets, the firm reports in its ManpowerGroup Employment Outlook Survey Q1 2017.
Transportation & Utilities, which had the strongest forecast across the industry sectors last quarter, “is expected to be sluggish in the upcoming quarter – with its NEO [net employment outlook] dropping from +17 per cent in Q4 2016 to +8 per cent”, the report notes.
The NEO is calculated by subtracting the percentage of employers anticipating a decrease in hiring activity from the percentage of employers anticipating an increase in employment. Seasonal adjustment is then applied to the data.
“The hiring intentions forecast for the first quarter remains modest for the fourth consecutive year, suggesting that at the start of the year employers tend to wait and see how things pan out before making broader hiring decisions,” ManpowerGroup Australia and New Zealand MD Richard Fischer says in general comments on the market.
“Across the board, there is certainly some positivity, with 13 per cent of employers looking to bolster their headcount with additional hires, while the clear majority – 76% – are not intending to make any changes.
“If you look at what the last 12 months has bought from a macro political and economic perspective, it was certainly a year of uncertainty and change. We have had a double dissolution election in Australia, the ‘Brexit’ decision in the United Kingdom, and an American Presidential campaign.
“While there is arguably still some uncertainty around the impact of such events, business sentiment has been relatively stable throughout the year.”