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Thirty-four Percent of Employers Plan to Hire Full-Time, Permanent Employees in the Second Quarter, CareerBuilder’s Forecast Finds

A Quarter of U.S. Workers Plan to Change Jobs This Year

CHICAGO – March 31, 2016 – The U.S. has added private sector jobs every month for the last six years,1 and the latest forecast from CareerBuilder shows this trend will continue in the second quarter. One third of employers (34 percent) plan to add full-time, permanent employees over the next three months and 37 percent plan to hire temporary or contract workers.

At the same time, U.S. workers are looking for better job opportunities: 1 in 4 workers (25 percent) plan to change jobs this year.

“Overall, U.S. job growth has been consistent despite volatility in the stock market and weaker performances in global economies,” said Matt Ferguson, CEO of CareerBuilder and co-author of The Talent Equation. “The vast majority of companies are either maintaining their headcount or adding new employees at various skill levels. This is promising news for college students approaching graduation and seasoned workers who want to re-enter the workforce or change jobs.”

The national survey was conducted online on behalf of CareerBuilder by Harris Poll between Feb. 10 and March 17, 2016 and included a representative sample of more than 2,000 hiring managers and human resource professionals and more than 3,000 full-time employees across industries in the private sector.

Permanent Hiring in Q1 2016

Hiring in the first three months of 2016 outperformed the same period in 2015. Thirty-seven percent of employers hired full-time, permanent employees, up from 35 percent last year. The percentage of employers who decreased headcount (9 percent) is on par with last year. Fifty-three percent reported no change in their headcount while 1 percent said their company is undecided.

Permanent Hiring in Q2 2016

Looking ahead, 34 percent of employers plan to add full-time, permanent staff in the second quarter, up from 32 percent last year. Seven percent expect to decrease staff, down slightly from 8 percent last year. Fifty-five percent anticipate no change while 5 percent are undecided.

Industries expected to match or exceed the national average for adding full-time, permanent headcount in the second quarter are:

  • Health Care (50 or more employees) – 44 percent
  • Financial Services – 42 percent
  • Leisure & Hospitality – 41 percent
  • Information Technology – 40 percent

Temporary Hiring

Temporary employment continues to be a popular option for companies. Thirty-seven percent of employers plan to hire temporary or contract workers in the second quarter, on par with 2015. Thirty-three percent plan to transition some contract or temporary staff into permanent employees in the second quarter, up from 31 percent last year.

Hiring By Company Size

While large organizations are adding staff at a faster rate, the increased confidence small- and medium-sized businesses have displayed in previous quarters is expected to carry over into Q2:

  • 50 or fewer employees – 24 percent plan to increase the number of full-time, permanent staff in Q2, up from 23 percent last year; those reducing headcount remained at 4 percent
  • 250 or fewer employees – 29 percent plan to increase the number of full-time, permanent staff in Q2, up from 27 percent last year; those reducing headcount remained at 6 percent
  • More than 500 employees – 41 percent plan to increase the number of full-time, permanent staff in Q2, up from 38 percent last year; those reducing headcount decreased from 9 percent last year to 8 percent

Compensation

Companies may be feeling increased pressure to become more competitive with compensation. While 25 percent of employers anticipate no change in salary levels in the second quarter compared to the same period last year, 25 percent expect to boost salaries by at least 5 percent. Forty-four percent anticipate there will be an increase of 4 percent or less while 2 percent expect a decrease and 4 percent are undecided.

1 Data from the U.S. Bureau of Labor Statistics

Survey Methodology

This survey was conducted online within the U.S. by Harris Poll on behalf of CareerBuilder among 2,186 hiring and human resource managers and 3,031 employees ages 18 and over (employed full-time, not self-employed, non-government) between February 10 and March 17, 2016 (percentages for some questions are based on a subset, based on their responses to certain questions). With pure probability samples of 2,186 and 3,031, one could say with a 95 percent probability that the overall results have sampling errors of +/- 2.10 and +/- 1.78 percentage points, respectively. Sampling error for data from sub-samples is higher and varies.

About CareerBuilder®

As the global leader in human capital solutions, CareerBuilder specializes in cutting-edge HR software as a service to help companies with every step of the recruitment process from acquire to hire. CareerBuilder works with top employers across industries, providing job distribution, sourcing, workflow, CRM, data and analytics in one pre-hire platform. It also operates leading job sites around the world. Owned by TEGNA Inc. (NYSE:TGNA), Tribune Media (NYSE:TRCO) and The McClatchy Company (NYSE:MNI), CareerBuilder and its subsidiaries operate in the United States, Europe, South America, Canada and Asia. For more information, visit www.careerbuilder.com.

Media Contact

Michael Erwin
312.527.3637
Michael.Erwin@careerbuilder.com
http://www.twitter.com/CareerBuilderPR


CareerBuilder Media Contact
For all media inquiries and interview requests, contact:

Jennifer Grasz
(P) 773-527-1164
(E) jennifer.grasz@careerbuilder.com