Recruiting and keeping talent is important for growing companies, and how much companies are willing to invest in their talent management budgets is a key indicator of how senior management feels about the strength of the economy. Recently, Right Management (a subsidiary of the Manpower Group) polled over 2,000 senior human resources executives to find out what their hiring budgets – and therefore their economic optimism – look like for the remainder of 2013.
In the United States, executives are split down the middle, with most of the 650 executives polled expecting an economic recovery this year leading to more budgeting for recruiting and hiring talent. However, half of the polled executives expect 2013 to look much like 2012 in terms of hiring, with slow growth and delays in hiring new personnel.
This is a considerable improvement from their outlook one year ago, when only one-third of the HR executives believed talent management budgets would grow. Only one out of every ten U.S. human resources executives expect to experience further cutbacks in personnel during 2013.
Globally, the most positive outlook among the polled human resources executives were in India, China, and Brazil. Eighty percent of Indian executives expect to budget more for talent, 73 percent of Chinese executives expect growth and 68 percent of Brazilian companies expect growth.
The most negative outlooks came from the polled executives in Europe, where economic unrest is most unsettling. In France, only 19 percent expect to see recovery, 14 percent in the Netherlands expect recovery, and only 11 percent of those in Belgium expect recovery.
Overall, the outlook for 2013 is more positive than it was during the same period of 2012. However, it remains clear that many companies are still reluctant to invest in more recruitment, training, and talent retention initiatives due to the shaky global economic situation.