Despite the drop in overall confidence, the majority of workers remain confident in their personal employment situation. The percentage of workers who are confident in the future of their current employer is virtually unchanged, declining just one percentage point to 63 percent in January, and 52 percent are confident in their ability to find a new job. In addition, seventy-seven percent feel they are unlikely to lose their job in the next 12 months, a slight decrease of one percentage point from December.
The survey also indicated that more workers planned to make a job change, with 38 percent saying they are likely to look for a new job in the next year, an increase of six percentage points since December. "Clearly, the confidence of the U.S. workforce has been shaken by the recent evidence of an economic slowdown and sluggish job growth over the past few months," said Roy Krause, president and chief executive officer of Spherion Corporation. "While the drop in confidence in January isn't completely unexpected, we were somewhat surprised to see that more workers are planning to find a new job in the near future. Many attribute this increase to workers' rising fears about their current jobs, but evidence from our survey does not support this theory. We continue to see that large majorities of workers are confident in their job security and in the future of their current employers."
Krause, continued, "As we have seen in previous economic downturns, today's workforce maintains a high level of personal confidence that isn't easily swayed by changes in the macroeconomic situation. This should serve as a strong message to employers who may think today's environment allows them to turn their attention away from recruiting and retention. Workers' confidence and desire for change, coupled with current talent shortages and significant demographic changes on the horizon, will ensure that the battle for talent will continue in 2008."
Results from the January Spherion Employment Report:
Confidence Levels Hit Lowest Level Since 2004: The Spherion Employee Confidence Index dropped for the sixth consecutive month, decreasing 3.4 points to 48.6 in January. The Index, which measures workers' confidence in their personal employment situation and optimism in the macroeconomic environment, reveals that more workers were apprehensive about the economy, job market and the future of their current employers.
Details of the Index:
Macroeconomic Confidence:
- 16 percent of U.S. adult workers believe there are more jobs available, compared to 19 percent in the previous month.
- The percentage of U.S. adult workers who believe the economy is getting stronger decreased to nine percent from 12 percent in December.
Personal Confidence:
- 63 percent of U.S. adult workers feel confident in the future of their current employer, a slight drop of one percentage point from December.
- The percentage of U.S. adult workers confident in their own ability to find a new job fell three percentage points from last month to 52 percent.
Job Security: More Workers Believe it is Unlikely they will Lose Their Job
- 77 percent of U.S. workers believe that it is unlikely that they will lose their jobs in the next twelve months, a slight decrease of one percentage point from December.
Job Transition: More Workers Likely to Look for a New Job
- 38 percent of workers are likely to look for a new job in the next 12 months, up six points from last month.
