SHRM LINE: Healthy hiring expected in June, mixed compared to a year ago

In June, the rate of job creation will drop in manufacturing and rise modestly in services compared with the previous year, according to the Society for Human Resource Management’s (SHRM®) Leading Indicators of National Employment (LINE®) survey for June 2016.

Job creation rates will be mixed compared with a year ago, as fewer manufacturers plan to grow payrolls and more service-sector employers will add jobs. Layoff rates will also vary, as slightly more manufacturers will cut jobs and fewer service-sector employers will conduct layoffs compared with a year ago.

A net of 50.8 percent of manufacturers will add jobs in June (58.8 percent will hire, 8 percent will cut jobs). The sector’s hiring index will drop by 5.2 points compared with June 2015.

A net of 51.2 percent of service-sector companies will also conduct hiring in June (56.6 percent will add jobs, 5.4 percent will cut jobs). The index will rise by 9.7 points compared with a year ago, and the net represents a four-year high for June in the service sector.

The full report, which also covers recruiting difficulty and new compensation trends, can be found here.