Survey: Hiring plans of U.S. CEOs at 3-year high
Posted June 23, 2010 9:40 a.m. EDT
Updated June 23, 2010 10:16 a.m. EDT
NEW YORK — A new survey shows the number of CEOs planning to ramp up hiring is at the highest level since mid-2007, suggesting big U.S. companies are growing more confident about the economic recovery.
The Business Roundtable, an association of CEOs of big U.S. companies, says its survey shows 39 percent of chief executives expect to boost their payrolls in the second half of 2010.
Only 17 percent say jobs will drop, while 43 percent expect no change in their current workforce.
However, a growing percentage also said they plan to reduce capital spending.
“Our member CEOs plan to continue hiring and expect improved sales,” said Ivan Seidenberg, Chairman of Business Roundtable and Chairman and CEO of Verizon Communications.
“That said, our CEOs are demonstrating some caution in the area of capital expenditures, with fewer planning to increase spending and more keeping it level," he added.
The proportion of those planning to hire is at the highest level since mid-2007.
Companies are adding jobs as sales recover.
Despite renewed market fears of a hit to global growth because of economic trouble in Europe, 79 percent of CEOs say they expect sales to rise in the second half.
• Increase: 79 percent (73 percent Q1)
• No change: 17 percent (23 percent Q1)
• Decrease: 4 percent (5 percent Q1)
• Increase spending: 43 percent (46 percent Q1)
• No change: 50 percent (46 percent Q1)
• Decrease: 7 percent (7 percent Q1)
• Increase: 39 percent (29 percent Q1)
• No change: 43 percent (50 percent Q1)
• Decrease: 17 percent (21 percent Q1)