While unemployment rates have remained relatively static over the last few months, a new employment index reveals that the economy is showing small but steady growth at a monthly rate.
The Conference Board Employment Trends Index for the month of June saw minor growth, coming in at 111.64 up from 111.59 from May. The index measures the state of employment based on eight different market indicators including the number of employees hired from contract staffing agencies, the amount of initial claims for unemployment, and industrial and manufacturing industry trends.
Positive Yearly Growth
The index marks a 3.8 percent improvement from June of 2012, indicating that employment, though not particularly quickly, is improving overall. The Conference Board attributes part of the recent improvement to the positive growth of a couple industries, namely industrial production, and real manufacturing and trade sales.
This news comes as industrial trends from the month before mirror the slight uptick in production. The Industrial Production index, from the Federal Reserve for the month of May was up 1.6 points from a year ago as manufacturing production and mining output rose slightly from April. These statistics indicate that industries are growing but many companies have little wiggle room when it comes to costs for hiring employees. However, the increase in production does indicate that companies could be looking to acquire additional help for their operations.
Using Contract Staffing as an Advantage
The slight increase in employment and industry trends shows that companies are hiring but are looking for people who can make an immediate impact. Temporary staffing agencies have long been considered a source for quick labor assistance, however, many companies are finding that the help provided by these services can be under qualified, leading to potential risks, not just in product, but in safety.
However, there are alternative staffing solutions that can help both employers and job seekers. These performance based staffing solutions can provide training for laborers so that the company can ensure quality production from the employee while the company can continue to grow in production within the tight constraints of the economy.