Economic uncertainty leads to slowed hiring outlook

QPS Companies, Inc. releases results of 2nd quarter Employment Forecasting Survey


Brookfield, Wis. (March 20th, 2008) ­­­– Brookfield-based QPS Companies, Inc. (QPS) surveyed more than 200 companies including manufacturers, banks, printers, distributors and information technology firms throughout Wisconsin and Illinois.


Hiring Trends:

38 percent of employers are expecting to increase staff, down from first quarter’s prediction of 54 percent. The number is historically low, with 2006 and 2007’s second quarter figures of 53 percent and 52 percent, respectively.


Biggest Issues:

According to the survey, the biggest issues facing companies are material costs and lack of qualified or reliable employees. Many companies wrote in their own responses noting fears of an economic slowdown affecting their businesses, with the lack of work orders, the down housing marketing and the possible recession looming.


Wage Expectations:

Companies also appear to be financially tightening, with 64 percent of respondents indicating that wages will remain the same. Historically, the number is up from 2006 and 2007, with second quarter figures of 28 percent and 48 percent, respectively. Only 33 percent anticipate wage increases, down from 72 percent in 2006 and 51 percent in 2007.


What this means to local businesses:

According to Mark Immekus, Executive Vice President and CSO of QPS, “Economic uncertainty is playing a key role in the way local companies are doing business. Companies are slowing down their anticipated hiring trends, and are making conservative wage adjustments. Many businesses are taking a ‘wait and see’ type of approach before making any drastic changes.”


About the Survey:

The QPS survey, conducted in February of 2008, is an indicator of local employers’ expectations of the current economic climate. The survey was issued to local companies throughout Wisconsin and Illinois. The average company size reported was 80.14 employees.


About QPS Companies, Inc.:

QPS was founded in 1985 and has grown from a two-person operation to a company whose internal staff now numbers over 200 employees in twenty office locations throughout Wisconsin and Illinois. QPS has experienced substantial growth over the past twenty years. We currently employ more than 4,000 associate employees weekly and work with over 1,000 companies in Wisconsin and Illinois. QPS has earned a reputation for responding to both employees and customers, finding optimal employment for applicants, and taking initiative to resolve customers’ staffing needs.


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