Insights From the Precision Staffing Team

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Jobs and Economy growing

According to Bloomberg BusinessWeek the GDP will come in above 3% over the last 9 months.  We have not seen this type of growth in quite awhile.  “We’re in an environment where I don’t see any major headwind,” said Ethan Harris, co-head of global economics research at Bank of America Corp.  “I see minor challenges. So things are aligned for better growth.”  The reason behind such growth is consumer confidence, and where did this confidence come from?  Jobs!

In June 288,000 jobs were created and the number of people applying for unemployment benefits in the week ended July 5 fell by 11,000 to 304,000, the fewest in more than a month, according to the U.S. Department of Labor.  The four-week moving average of new claims dropped by 3,500 to 311,500.

“The job numbers reinforce our view that the economy’s struggles in the first quarter were an anomaly — they were a blip,” said Ryan Sweet, a senior economist at Moody’s Analytics Inc.  They project payrolls will grow by 250,000 a month on average in the second half of the year, which “would be a very good sign that the economy is accelerating,” said Sweet.

Consumer spending is expected to grow 2.8% in 2015 up from 2..2% growth in 2014.  Between an increase in Consumer spending and the continual improvement in employment we are poised for an increase in utilization of staffing growth.  “Employment in temporary help services continued to trend up (+10,000) and has grown by 216,000 over the past year,” according to Erica L. Groshen, commissioner of the U.S. Bureau of Labor Statistics.  Seasonally adjusted staffing employment was up 0.4% over May and 8.1% over June of last year. While year-to-year growth for the month was the lowest since November, according to BLS, the average over the past eight months has been a robust 8.7%.

“The continued strength of staffing employment growth reflects continued improvement in overall economic growth,” says Richard Wahlquist, president and chief executive officer of the American Staffing Association. “The especially good news for job seekers is that staffing and recruiting firms are reporting increases in requests from businesses across many sectors for candidates to fill permanent positions.”

To find out all the benefits of staffing and why companies across the US are increasing their usage of staffing visit or call 513-372-6020




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