SME employers predict hiring drive in 2004

Employers in Small to Medium Sized Enterprises (SMEs) are expressing considerably more optimism than large businesses as to their hiring intentions for early 2004, according to Manpower, the UKís leading workforce management company.

The Manpower Employment Outlook Survey provides a forecast of employer hiring intentions for the quarter January to March 2004. 2,500 UK employers were surveyed in the UK and over 35,000 employers in 18 countries globally.

The Net Employment Outlook (the balance of employers forecasting to take on more staff) average for the UK in Q1 is 9%. Employers in small and medium sized businesses forecast a net outlook of 17% and 11% respectively. The net outlook for larger companies stands at 2%.

Comments Hazel Detsiny, director at Manpower: ìWhilst weíre seeing general employment confidence amongst UK employers, itís employers amongst small and medium sized companies who are predicting the greatest growth and helping to drive overall employer confidence. Small businesses play an important role in driving growth in the British economy and this, combined with our own experience at Manpower of providing more workers to SMEs, is an encouraging
sign.î

Employer optimism is not the only positive indicator from SMEs for the forthcoming year. In a recent report by Tenon, the nationwide accountants and business advisers, 84% of small to medium sized enterprises feel positive with regards to their own business prospects over the next 12 months, and of whom 29% are very positive.

Nigel Griffiths, Minister for Small Business and Enterprise, comments: I’m very pleased about the optimism of SMEs in the UK. Small businesses are the lifeblood of our economy and employ over 12 million people. This survey confirms that the Government is creating the right conditions for small firms to thrive.

The Chancellor’s Pre-Budget Report reaffirmed our commitment to enterprise and our support for small firms by cutting regulation, offering more incentives for businesses to grow and simplifying VAT for millions of small firms.

John Emmins, FSB National Chairman, adds: From small firms come growth, wealth and innovation. Now we also know that from next year small firms will again outstrip larger companies in the job creation stakes.

Manpower takes its responsibility as the direct employer of all staff very seriously by investing heavily in its training and development programmes. The Global Learning Centre is a free online tool offering over 1,500 courses in diverse areas such as business to IT, to all those working through Manpower.