According to the latest survey from the National Association for Business Economics (NABE) hiring over the next six months looks grim.
Only 23 percent of the firms polled in June plan to add to staff in the next six months, the National Association for Business Economics said on Monday.
NABE’s prior survey, conducted in late March and early April, had shown 39 percent of companies planning to add workers.
A July 6 Labor Department report, showed companies asked employees to work longer hours last month, even though they slowed the pace of hiring.
Among companies that produce goods rather than provide services, the impact was even greater, with nearly four in five reporting a Europe-driven decline in revenues.
Three months earlier, only about a quarter of total firms polled thought sales had fallen
Lights Out Moment Coming Up
This report is consistent with my report US Manufacturing ISM Contracts for First Time in Three Years; New Orders and Prices Plunge; Perfect Miss: 0 of 70 Economists Polled By Bloomberg Expected Contraction
Hiring plans are also consistent with the Case for US and Global Recession Right Here, Right Now.
All of a sudden, consumers and businesses alike are going to have a “lights out” moment where orders dry up, hiring dries up, and unemployment heads North.
If the NABE poll is correct (and it is certainly consistent with other data), that time has arrived.
Mike “Mish” Shedlock
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