The Finance Whisperer

CFOs Predict Employment Growth in 2012

The most recent survey by Duke/CFO Magazine Global Outlook reported that chief financial officers are becoming increasingly optimistic about the U.S. unemployment rate for 2012.  On average, CFO survey respondents anticipate that national employment will grow by 1.5% over the course of the year—a significant improvement over predictions last quarter, in which CFOs only expected a .9% employment increase.  This estimate would put the national unemployment rate close to 8% by the end of 2012!  Meanwhile, 50% of CFOs polled in Europe believe their countries will fall into a recession within the next six months, and 90% say the debt crisis has impacted their business negatively. 

Last quarter, CFOs only predicted a .9% employment increase. 

Men Are Finding More Jobs Than Women

While men experienced significant job loss during the recession—often referred to as the “mancession”—it seems they have made a better recovery than women.  According to a recent report by the Institute for Women’s Policy Research, the gap between employed men and women is widening.  Men have regained 32% of the jobs lost between December 2007 and now, but women have only regained 20%.  Experts claim that women’s contributions to the labor force haven’t been so low since 1993!  No one is certain why this discrepancy is taking place, but one likely explanation is the number of women who worked for state and local governments.  Government has been one of the hardest hit sectors since the recession.  In addition, child care is expensive, and in many cases, women will stop working before men will to take care of their children.  Once the November figures are released, we will have a better of idea as to whether this trend will continue.