By Beth Fitzgerald
Originally Published in NJ Biz - May 11, 2011
Close watchers of the New Jersey job market report signs of a spring thaw in the demand for permanent workers.
Asked what his members are saying about hiring, Philip Kirschner, president of the New Jersey Business & Industry Association, said, "We are hearing that it is on the uptick. Uncertainty still abounds, but I think more people are edging toward making permanent hires. It is not the floodgates opening, but amid the uncertainty, it does seem there are some positives relating to hiring."
Kirschner said he hears this "across the board — except in construction." He said that in general, "there just seems to be more confidence. There has been an uptick in sales, and it has been long enough and consistent enough for some people to stick their toe in the water and start to make the decision about hiring on a more permanent basis."
The Wyckoff Group – Snelling Staffing, with headquarters in Eatontown, reported a strong increase in demand for full-time, permanent employees, and predicted employers will continue adding staff throughout the next couple of months.
"Our job orders for permanent employees have more than quadrupled in Monmouth, Ocean and Middlesex counties," said Frank Wyckoff, president of the Wyckoff Group. "Our local client companies are already informing us of their hiring plans for June and July."
In 2010, businesses relied heavily on temporary and contract workers, a common strategy in an unpredictable economy, Wyckoff said. While employers are still tapping a contingent work force to control costs, hiring managers are becoming more confident in the market, leaning toward using temporary-to-hire and permanent hiring solutions.
Wyckoff also reported an increase in currently employed professionals looking to change jobs — and said employers should focus on employee engagement to prevent turnover.
"As we see the economy continuously improve, employees will have more opportunities available to them," Wyckoff said. "Employers should be cautious, and commit more time to their employee engagement initiatives. Committed and enthusiastic workers will not only stick around, but also positively influence productivity."
Harvey C. Bass, president of the Sparta-based staffing company Stascom Technologies, said, "Just about every company that's viable is hiring — hiring has dramatically increased" since late last year.
But "companies are very unrealistic: they are still thinking it's the recession, so they are still being way too picky and way too slow in their interview processes," he said. Job candidates who are employed "have a lot of options and are taking a look at opportunities, and they get frustrated by companies that are too slow or too picky"
Bass said the job prospects for the unemployed have improved — but not dramatically. "If a company has a choice they would rather go with the employed than the unemployed person, especially if they have been out of work for too long."
Bass said employers can offer 10 percent to 30 percent less than they paid in 2007. But the good news, in his estimation: "80 percent of all companies are hiring, and they are fairly aggressive about it."