American firms to expand recruitment
PLANS by American firms to add to their payrolls over the next six months have risen to the highest level since January 2008 but service sector firms are still predicting further layoffs.
The National Association for Business Economics (NABE) yesterday said that 39 per cent of firms reported increased hiring intentions compared to 18 per cent a year ago.
The quarterly industry survey conducted by the NABE confirmed that the US recovery continued in the second quarter but at a slower pace than earlier in the year. The net percentage of firms reporting stronger conditions fell to 42 per cent in July from a four-year high of 51 per cent in April.
Expectations for economic growth in 2010 remained positive, although there was a slight decline on the previous quarter. Two-thirds of respondents believe that the economy will expand by more than two per cent in 2010. Thirty-five per cent of firms said that European credit and debt problems will have a negative impact on their business.