The American Society of Employers (ASE), a leading human resources and employer services organization, recently surveyed employers in Michigan to determine the impact of the instability of financial markets on business. Employers were asked to provide feedback on hiring, spending, investment and other key organizational activities.
“The instability of financial markets is having a direct impact on how Michigan employers are spending and investing,” said Mary Schroeder, president of ASE. “The ASE Economic Impact Survey indicates employers have a worsened business outlook, are decreasing hiring and implementing restrictions on spending. From the C-suite to the mailroom, the current economic climate is affecting businesses.”
The ASE Economic Impact Survey includes responses from nearly 200 employers throughout Michigan who are ASE members. According to the Survey:
- Prior to the current instability in the financial markets, 38 percent of employers described the condition of their business as moderately healthy and 30 percent described their condition as flat. Since this instability began, 44 percent of respondents reported that their business outlook has worsened moderately and 40 percent reported no change.
- The current economic instability has caused 53 percent of employers to initiate new restrictions on spending, with 74 percent of those citing capital spending and 64 percent citing travel as a specific budget cuts.
- 53 percent of employers will decrease hiring over the next six to 12 months, compared to hiring rates over the previous 12 months.
- 50 percent of employers reported that the current economic instability has impacted or caused reevaluation of the budgeting process.
About American Society of Employers
The American Society of Employers is a not-for profit human resource organization with more than 1,000 member organizations across the state of Michigan. The American Society of Employers has been in business for more than 100 years and has conducted surveys for more than 50 years. In addition to providing timely benchmark data on critical human resource issues, the American Society of Employers provides direct support for members through counsel, training and recruiting. For more information, visit www.aseonline.org.