Survey suggests jobs growth expected to pick up in coming years

05.22.2012


Survey suggests jobs growth expected to pick up in coming years
Survey suggests jobs growth expected to pick up in coming years

Staffing agencies may be thrilled to hear the most recent forecast from the National Association for Business Economics (NABE), which predicts that the labor market in the U.S. will see robust growth by 2013, with monthly job gains expected to average 200,000 every month, Reuters reports.

According to the news source, the survey, which was released on Monday, May 21, also bets the unemployment rate will fall to 7.5 percent by the end of next year. To complete the survey, NABE heard from 54 economists who all had a fairly rosy outlook for the country's labor market, countering recent statistics that show hiring has dropped off in recent months after a surge in the first two months of the year.

"Economists continue to see things pick up, even if it's just slightly from pretty low levels," said Shawn DuBravac, chief economist at the Consumers Electronics Association.

The poll, held between April 19 and May 2, found economists believe nonfarm payroll increases will average about 188,000 every month in 2012. By the end of the fourth quarter, respondents expect the unemployment rate to fall to 8.0 percent. Between December 2011 and February 2012, job growth exploded, adding an average of 254,000 every month. In March and April, the hiring boom eased slightly to an average of 134,500 new jobs, according to the media outlet.

NABE held a previous survey in February, in which respondents forecast the average of monthly jobs gains to be 170,000 for the remainder of 2012 and 183,000 throughout 2013.

The most recent survey indicates economists have an even more upbeat outlook on the hiring climate, with the average expectation for the unemployment rate at 8.0 percent by the year's end, compared to February's forecast of 8.1 percent. Respondents initially said the unemployment rate would only fall to 7.6 percent by the end of 2013.

Job creation was at the forefront of the recent G-8 Summit in Chicago, where President Barack Obama spoke on the issue, the Silicon Valley Mercury News reports.

"There's now an emerging consensus that more must be done to promote growth and job creation right now," Obama said.