Finance Professionals Don't See U.S. Companies Hiring Until 2011

Finance Professionals Don't See U.S. Companies Hiring Until 2011 - Dec 17, 2009 by E. Johns

The 2010 Business Outlook Survey released today by the Association for Financial Professionals (AFP) and underwritten by Wells Fargo & Company (NYSE: WFC) shows that while more than a quarter of respondents indicate that their organizations will shrink their payrolls in 2010, 46 percent expect that their organizations' workforces will be stable in the new year.

When hiring begins, most finance professionals expect payroll growth to be modest at first. Of organizations surveyed, 25 percent anticipate returning to pre-recession staffing levels in 2011; 32 percent expect a rebound in 2012; and three out of ten do not expect their organizations ever to return their payrolls to pre-recessionary levels.

Lindell commentary: Consider the above comments and our consumer driven economy. If their survey predictions are accurate, consumers will continue to have lower wage levels. The consumer will also have trouble keeping up with their debt service. In addition, the overall wage base for income taxes will decline. This will continue to put financial pressure on all levels of government. Given their prediction that 30% of the companies do not anticipate returning at all to pre-recessionary levels of employment, the future becomes bleaker. Stay tuned - this gets better day by day ...

Copyright 2009 - Jim Lindell