Contrary to the June report, which showed that both personal confidence indicators were on the decline, the July data demonstrates a positive upswing, as worker confidence in the future of their employers increased three percentage points and 49 percent remain confident in their ability to find a new job.
At the same time, optimism in the economy waned in July, as the percentage of workers confident in the strength of the economy and the job market both declined by two percentage points. However, 76 percent of workers believe it is unlikely they will lose their current job, showing no change from June and 33 percent of workers are likely to look for a new job in the next 12 months.
"Given the current state of the economy, we are encouraged by the high number of workers feeling secure in their jobs and the rise in the percentage of workers who are confident in the future of their employers," said Roy Krause, president and CEO of Spherion Corporation. This level of confidence is not unlike what we have seen in previous downturns and is indicative of how workers feel about their own abilities and their personal situations despite the instability of the economic environment around them."
Krause continued, "As I speak to our clients across the country, I continue to hear questions about worker confidence and their actual likelihood to leave their jobs in this environment. The simple answer is that workers are listening to offers and even small adjustments in pay, benefits and commute times may entice them enough to make a move. Regardless of the economic situation, employers must still plan for turnover and should consider how their employer brand may be impacted by any organizational changes or changes in strategy. The moves they make now will have a major impact on their ability to attract, retain and develop top talent when the economy turns around.
Results from the July Spherion Employment Report:
Overall Confidence Level Hits Record Low: The Spherion Employee Confidence Index dipped 0.9 points to 45.2 in July, decreasing to the lowest level seen in the history of the survey. The Index, which measures workers' confidence in their personal employment situation and optimism in the macroeconomic environment, declined as workers' concerns about the economy and the job market increased. However, more workers expressed confidence in the future of their current employer in July and 76 percent of workers believe they are unlikely to lose their job in the next year.
Details of the Index:
Macroeconomic Confidence:
- Ten percent of U.S. adult workers believe there are more jobs available, a decrease of two percentage points from June.
- Five percent of workers believe the economy is getting stronger, decreasing two percentage points from the previous month.
Personal Confidence:
- Sixty-six percent of U.S. adult workers feel confident in the future of their current employer, a three percentage point increase from June.
- The percentage of U.S. adult workers confident in their ability to find a new job remains unchanged from the previous month at 49 percent.
Job Security: Seventy-six percent of Workers Believe it is Unlikely They Will Lose Their Job
- Seventy-six percent of U.S. workers say it is unlikely they will lose their jobs in the next 12 months, showing no change from June.
Job Transition: One-third of Workers Likely to Look for a New Job
- One-third (33 percent) of workers are likely to look for a new job in the next twelve months, a decrease of one percentage point from the prior month.
