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|Hiring Managers Indicate Rebound in Employment Far from Certain According to Dice Holdings, Inc. Survey|
Three in four companies have scaled back hiring plans for the next six months
"These results reflect what we hear from our customers on a daily basis,"
According to the survey, "not sure" is the number one response (36%) to the question of when hiring levels will return to normal. More respondents were willing to specify a timeframe in this survey than six months ago, with the largest group (31%) choosing the first half of 2010 for hiring to normalize.
At the same time, nearly a third of respondents (31%) believe that layoffs are likely in the next six months. Most surprisingly, that result is down just slightly from the 34 percent of respondents who expected job cuts at the end of 2008, despite the speed and the scope of the job cuts already taken this year.
It's clear the impact of this recession is still playing out in the labor market as nearly 60 percent of respondents report substantial increases in the number of candidates applying for jobs. In addition, the time to fill open positions is lengthening for 32 percent of respondents. Of that group, more than half (59%) attribute this to caution related to the economy and almost a quarter (23%) cite less urgency to fill open positions.
The slack demand and surge in qualified candidates allows companies with hiring plans to tap individuals at advantageous compensation levels. For new hires, 89 percent of respondents indicate their offers will be at the same (51%) or lower salaries (38%) as compared to a year ago.
"Companies need to figure out smart ways to balance workforce needs with budgetary constraints," said Melland. "If not, when the economy turns upward - and it will - employers will be faced with the risk of an exodus of talent. There may be few green shoots in today's labor market, but professionals understand and act quickly when green grass is right around the corner."
About the survey
Survey Results Table 1: Has the current economic environment caused you or your clients to scale back hiring plans for the next six months? May 2009 November 2008 Yes, substantially 36% 29% Yes, slightly 38% 38% No 22% 27% I'm not sure 4% 6% Table 2: When do you envision that your hiring or your clients' hiring will return to normal levels? Second half of 2009 10% First half of 2010 31% Second half of 2010 19% First half of 2011 4% Not sure - we'll have to wait and see how the economy evolves 36% Table 3: How likely do you think layoffs are in the next six months at your organization, or if you are a recruiter at your clients' organizations? May 2009 November 2008 Very likely 10% 13% Likely 21% 21% Not likely 52% 47% I don't know 17% 19% Table 4: Are you seeing an increase in the number of candidates applying for positions as compared to six months ago? May 2009 November 2008 Yes, significantly 59% 35% Yes, but slightly 28% 36% No 13% 29% Table 5: If you or your clients have positions to fill, has the time to fill open positions changed relative to last year? Yes, it has substantially lengthened 14% Yes, it has slightly lengthened 18% No 44% Yes, it has slightly shortened 20% Yes, it has substantially shortened 4% Table 6: What best describes the reason for time to fill lengthening? There is no urgency to fill open positions 23% Caution related to the economy 59% Inability to find qualified professionals to fill open positions 14% I don't know 4% Table 7: What trend do you see in salaries for new hires? May 2009 November 2008 They are significantly higher than last year 2% 1% They are slightly higher than last year 9% 22% They are the same as last year 51% 62% They are slightly less than last year 31% 13% They are significantly less than last year 7% 2%