May 31, 2012
Job creation will continue in manufacturing and services in June, but for the fifth time in the last six months, the rate of growth will fall behind the rate of the previous year in both sectors, according to the Society for Human Resource Management’s (SHRM) Leading Indicators of National Employment (LINE) survey for June 2012.
A net of 43.8 percent of manufacturers will add jobs in June (49.0 percent will hire, 5.2 percent will cut jobs). The sector’s hiring index will fall in June on a year-over-year basis by a net of 3.2 points. A net of 22.4 percent of service-sector companies will add jobs in June (31.0 percent will conduct hiring, 8.6 percent will trim payrolls), and the service hiring index will fall by 14.0 points compared with a year ago. The layoff rate in both sectors will fall in June compared with a year ago.
The LINE results for June 2012 reflect an ongoing trend of steady job growth each month, but also reveal a pace that has not kept up with rates from the previous year. In 10 of the past 12 months, manufacturing hiring has trailed the previous year’s rate, according to LINE data. During that same time period, service-sector hiring fell behind the previous year’s rate in all 12 months.
The full report, which also includes data for recruiting difficulty, new-hire compensation, and vacancies, can be found here.