BOSTON -- The U.S. job market is expected to be more active next year as companies boost recruitment and more individuals seek new positions, according to a survey of 3,100 senior human resources executives by Novations, a global consulting and training organization based in Boston.
Three-quarters of companies will maintain or increase hiring in 2006, said Novations President and COO Mike Hyter. "Twenty-six percent will step up hiring, while 48% will continue to hire at the same pace as in 2005. Such prospects reflect rising confidence in the U.S. economy. Only 14% of companies foresee reduced hiring."
But improved business conditions will inevitably prompt more employees to look for new jobs, said Hyter. "Two-thirds of organizations surveyed expect increased employee defections in the year ahead. Moreover, 9% predict a ´great many´ of their employees will probably leave. This increased employee mobility will itself require more recruitment to fill vacated positions."
In recent years, Hyter explained, many organizations froze hiring, eliminated positions, reduced headcount and demanded more of remaining employees. "Not surprisingly, employees often felt trapped and may well want to move on once the job market rebounds. There´s a lot of pent-up frustration in the workplace."
Although optimism about business conditions and hiring is encouraging, Hyter said, the findings should serve as an alert to senior management. "Companies mustn´t be complacent about their workforce and should look for ways to make it worthwhile for employees to stay."
The Novations Internet survey of 3,100 senior human resource and development executives was conducted November 17-December 6 by Equation Research.
Founded in 1977 and based in Boston, Novations Group is one of the country´s largest performance improvement organizations and serves client organizations on four continents. For information visit www.Novations.com.
Contact: Pat FitzGerald, Novations, 617-787-2163, pfitzgerald[at]novations.com, or Phil Ryan, Ryan Public Relations, 845-339-7858.