Wednesday AM October 8th, 2008
by: Ed Mayberry, October 7, 2008 5:10:45 pm
ExecuNet's Recruiter Confidence Index declined in September, as executive search firms temper their job growth in the months ahead. ExecuNet President and Chief Economist Mark Anderson says recruiters are seeing more potential for contraction than expansion.
"For the first time it's dipped below what would have been an expansionary view of the economy to one that's more contracting. And it's at its lowest point since actually the last recession. The perspective, though, is for most of the year recruiters have been remarkably positive about the marketplace, even though there's been a lot of bad economic news. But in the last two to three months, it defniitely has dipped down below or right at the level where they're thinking more about the economy moving much more slowly than in the past."
Anderson says executive recruiters are still seeing job growth in certain sectors.
"High-tech and biotech and energy and even environmental products and services--they're growing while other industries are contracting. What recruiters were telling us was the next three months are probably most impacted by the election and other things, and so they're much less positive about the next three months. But looking out longer term, when we projected into 2009, they're actually looking for growth to rebound. But the next three to six months are going to be more difficult than what we've seen."
Anderson says companies are clearly taking a more cautious approach to hiring.
Ed Mayberry, KUHF Houston Public Radio News.