* . *
  • About
  • Advertise
  • Privacy & Policy
  • Contact
Friday, June 27, 2025
Earth-News
  • Home
  • Business
  • Entertainment
    Susquehanna Raises Penn Entertainment Inc. (PENN) Price Target. – Yahoo Finance

    Susquehanna Raises Price Target for Penn Entertainment Inc. (PENN)

    George Lopez is coming to Spokane – KXLY.com

    George Lopez is coming to Spokane – KXLY.com

    Netflix unveils Dallas immersive venue for fans of hit shows like ‘Squid Game,’ ‘Stranger Things’ – Houston Chronicle

    Step Inside Netflix’s New Dallas Immersive Experience Featuring Hits Like ‘Squid Game’ and ‘Stranger Things

    ‘Puttin’ on the Ritz’: Civic Players bring ‘Young Frankenstein’ to life – Yahoo

    Civic Players Deliver a Hilarious and Unforgettable Performance of ‘Young Frankenstein

    ‘Wheel of Fortune’: Amputee Wins $60,000 After Breaking Incredible ‘Curse’ – Hastings Tribune

    Wheel of Fortune’ Amputee Breaks Incredible ‘Curse’ to Win $60,000!

    North Star Sports & Entertainment Network: Coming soon – KTTC News

    North Star Sports & Entertainment Network: Coming soon – KTTC News

  • General
  • Health
  • News

    Cracking the Code: Why China’s Economic Challenges Aren’t Shaking Markets, Unlike America’s” – Bloomberg

    Trump’s Narrow Window to Spread the Truth About Harris

    Trump’s Narrow Window to Spread the Truth About Harris

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Trending Tags

    • Trump Inauguration
    • United Stated
    • White House
    • Market Stories
    • Election Results
  • Science
  • Sports
  • Technology
    St. Francis Medical Center brings advanced robotic surgery technology to Northeast Louisiana – KNOE

    St. Francis Medical Center brings advanced robotic surgery technology to Northeast Louisiana – KNOE

    Wayve Expands Engineering Leadership to Power Next-Gen Autonomous Driving Technology – Silicon Canals

    Wayve Boosts Engineering Leadership to Accelerate Next-Gen Autonomous Driving Innovation

    Frontdoor Announces Tech Expert Dr. Bala Ganesh as Chief Technology Officer – Business Wire

    Frontdoor Appoints Tech Visionary Dr. Bala Ganesh as New Chief Technology Officer

    Defense technology giant Northrop Grumman to host interviews in Iuka to fill technician roles – supertalk.fm

    Defense technology giant Northrop Grumman to host interviews in Iuka to fill technician roles – supertalk.fm

    China’s Military Introduces Mosquito-Sized Drones: A Game-Changing Surveillance Technology – Indian Defence Review

    China Unveils Mosquito-Sized Drones: Revolutionizing Surveillance Technology

    Marvell Technology Stock Rallies After AI Event Sparks Investor Optimism – Yahoo Finance

    Marvell Technology Stock Rallies After AI Event Sparks Investor Optimism – Yahoo Finance

    Trending Tags

    • Nintendo Switch
    • CES 2017
    • Playstation 4 Pro
    • Mark Zuckerberg
No Result
View All Result
  • Home
  • Business
  • Entertainment
    Susquehanna Raises Penn Entertainment Inc. (PENN) Price Target. – Yahoo Finance

    Susquehanna Raises Price Target for Penn Entertainment Inc. (PENN)

    George Lopez is coming to Spokane – KXLY.com

    George Lopez is coming to Spokane – KXLY.com

    Netflix unveils Dallas immersive venue for fans of hit shows like ‘Squid Game,’ ‘Stranger Things’ – Houston Chronicle

    Step Inside Netflix’s New Dallas Immersive Experience Featuring Hits Like ‘Squid Game’ and ‘Stranger Things

    ‘Puttin’ on the Ritz’: Civic Players bring ‘Young Frankenstein’ to life – Yahoo

    Civic Players Deliver a Hilarious and Unforgettable Performance of ‘Young Frankenstein

    ‘Wheel of Fortune’: Amputee Wins $60,000 After Breaking Incredible ‘Curse’ – Hastings Tribune

    Wheel of Fortune’ Amputee Breaks Incredible ‘Curse’ to Win $60,000!

    North Star Sports & Entertainment Network: Coming soon – KTTC News

    North Star Sports & Entertainment Network: Coming soon – KTTC News

  • General
  • Health
  • News

    Cracking the Code: Why China’s Economic Challenges Aren’t Shaking Markets, Unlike America’s” – Bloomberg

    Trump’s Narrow Window to Spread the Truth About Harris

    Trump’s Narrow Window to Spread the Truth About Harris

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    Israel-Gaza war live updates: Hamas leader Ismail Haniyeh assassinated in Iran, group says

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    PAP Boss to Niger Delta Youths, Stay Away from the Protest

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Court Restricts Protests In Lagos To Freedom, Peace Park

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Fans React to Jazz Jennings’ Inspiring Weight Loss Journey

    Trending Tags

    • Trump Inauguration
    • United Stated
    • White House
    • Market Stories
    • Election Results
  • Science
  • Sports
  • Technology
    St. Francis Medical Center brings advanced robotic surgery technology to Northeast Louisiana – KNOE

    St. Francis Medical Center brings advanced robotic surgery technology to Northeast Louisiana – KNOE

    Wayve Expands Engineering Leadership to Power Next-Gen Autonomous Driving Technology – Silicon Canals

    Wayve Boosts Engineering Leadership to Accelerate Next-Gen Autonomous Driving Innovation

    Frontdoor Announces Tech Expert Dr. Bala Ganesh as Chief Technology Officer – Business Wire

    Frontdoor Appoints Tech Visionary Dr. Bala Ganesh as New Chief Technology Officer

    Defense technology giant Northrop Grumman to host interviews in Iuka to fill technician roles – supertalk.fm

    Defense technology giant Northrop Grumman to host interviews in Iuka to fill technician roles – supertalk.fm

    China’s Military Introduces Mosquito-Sized Drones: A Game-Changing Surveillance Technology – Indian Defence Review

    China Unveils Mosquito-Sized Drones: Revolutionizing Surveillance Technology

    Marvell Technology Stock Rallies After AI Event Sparks Investor Optimism – Yahoo Finance

    Marvell Technology Stock Rallies After AI Event Sparks Investor Optimism – Yahoo Finance

    Trending Tags

    • Nintendo Switch
    • CES 2017
    • Playstation 4 Pro
    • Mark Zuckerberg
No Result
View All Result
Earth-News
No Result
View All Result
Home Business

US businesses hoarding workers even as economy cools

August 4, 2023
in Business
US businesses hoarding workers even as economy cools
Share on FacebookShare on Twitter

Investing.com - Financial Markets Worldwide

Please try another search

Published Aug 04, 2023 06:04AM ET
Updated Aug 04, 2023 08:52AM ET

2/2

US companies hoarding workers even as economy cools
© Reuters. FILE PHOTO: Kevin Kelly, the CEO of Emerald Packaging, talks with an employee on a production floor of the California-based company in Union City, California, U.S. on May 7, 2020. REUTERS/Nathan Frandino/File Photo

2/2

By Timothy Aeppel

(Reuters) – When storms hammered California’s farms last winter, Kevin Kelly knew his small factory outside San Francisco would soon see demand wilt for the plastic bags it churns out for pre-cut salads and other produce.

In the past, he would have swiftly chopped 10% of the workers that run his bag-making machines, or about 15 people.

But after struggling to fill jobs during the boom triggered by the COVID-19 pandemic, he didn’t this time. “I knew it would be hard to find people when business came back, let alone train them,” said Kelly, the CEO of Emerald Packaging (NYSE:). So he held on to his employees and found ways to curb their hours, including cutting overtime.

Employers across the U.S. are making a similar calculation. Faced with the tightest job market in decades, many have become less trigger-happy with layoffs, even in the face of a cooling economy. Indeed, a monthly report from outplacement firm Challenger, Gray & Christmas on Thursday showed that announced layoffs hit their lowest level in nearly a year last month as companies were “weary of letting go of needed workers.”

It’s unclear whether this strategy – dubbed labor hoarding by economists – would endure if the economy slipped into a deep recession, as some have predicted it would after the Federal Reserve embarked last year on an aggressive campaign to raise interest rates to curb high inflation.

But, so far, the economy has continued to grow, albeit more slowly, and the job market has powered onward. The U.S. jobless rate edged down to 3.5% last month, the Labor Department reported on Friday, up only slightly from more than a half-century low of 3.4% earlier in the year.

‘HOLD ONTO YOUR LABOR FORCE’

At least one major company has adopted a formal strategy of hoarding workers.

Speaking to investors last December, Alan H. Shaw, the CEO of Norfolk Southern (NYSE:), said part of a larger strategy aimed at making the railroad company more competitive with trucking would be to avoid the cycle in which workers are furloughed during downturns and then rehired when the economy improves. Shaw said difficulties bringing back workers hurt the Atlanta-based firm’s ability to serve customers during the pandemic boom.

The strategy is being put to the test now, as rail volumes have fallen back to earth after that boom ended. “But we’re continuing to hire,” Shaw told Reuters this week, “because we have confidence in the U.S. economy and the U.S. consumer.”

While many companies aren’t hiring at the heated pace they were a year ago, they’re also not yet rushing to thin the ranks.

U.S. job openings fell to the lowest level in more than two years in June, according to the monthly Job Openings and Labor Turnover Survey, or JOLTS report, released by the Labor Department this week, but they remained at levels consistent with a tight labor market. Layoffs and involuntary separations hit a six-month low.

“There’s a lot of hoarding going on – and still lots of hiring in industries that are experiencing strong demand,” said Dana Peterson, the chief economist at the Conference Board in New York.

The group’s latest survey of CEO confidence, done in conjunction with the Business Council and released on Thursday, found that while business leaders continue to prepare for a downturn, the fight for workers remains fierce. Forty percent of the CEOs said they plan to increase hiring in the next 12 months, while another 40% intend to maintain the size of their workforces.

The survey showed most CEOs expect the next downturn to be short and shallow. “If that’s the case,” said Peterson, “it makes sense to hold onto your labor force.”

LAYOFF REGRETS

Arnold Kamler, the CEO of Kent International, learned that the hard way. Demand for the bicycles that the company imports and manufactures at a small factory in South Carolina was insatiable during the pandemic. But as lockdowns eased, bike sales evaporated, and inventories piled up in the company’s warehouses and even in corners of its factory.

He laid off 60% of the workers at the company’s South Carolina plant at the end of last year, but now regrets it.

“I thought that when we went to rehire in March, we would have no problem ramping up,” he said. But only about a third of the workers returned and the company is now scrambling to find and train new employees. The factory currently has 85 workers, but Kamler would like 110.

Julia Pollak, chief economist at ZipRecruiter in Los Angeles, said employers tell her they are retaining workers they wouldn’t normally keep because of concerns they will have problems ramping up. But she sees a limit to this. “I don’t think it’s the case that many businesses are holding onto workers who are idle,” she said.

Thomas Simons, senior U.S. economist at Jefferies, has argued for months that at some stage the need for businesses to recapture margin will outweigh the argument for retaining under-used staff as a hedge against the difficulty of later rehiring. But that “view is becomingly increasingly difficult to defend,” he said last week after data showed weekly new claims for unemployment benefits hit their lowest level since February. Data released on Thursday showed weekly jobless claims rose slightly in the latest week.

Meanwhile, at Emerald Packaging, business has recovered from the slowdown caused by the winter storms.

“We’re actually making more money now than when demand was skyrocketing,” Kelly said, because surging prices for raw materials such as plastic resins cut into profits during the boom.

And for now, the company is continuing to hire. “We’re still 15 to 18 (people) short,” he said.

>>> Read full article>>>
Copyright for syndicated content belongs to the linked Source : Investing.com – https://www.investing.com/news/economy/us-businesses-hoarding-workers-even-as-economy-cools-3144968

Tags: businessBusinesseshoarding
Previous Post

China’s stubborn savers risk precipitating liquidity trap

Next Post

Key trade loophole keeps cheap Chinese products flowing to US

St. Francis Medical Center brings advanced robotic surgery technology to Northeast Louisiana – KNOE

St. Francis Medical Center brings advanced robotic surgery technology to Northeast Louisiana – KNOE

June 27, 2025
NBA Draft 2025: Did the Hornets reach for Kon Knueppel? And why the Spurs did the right thing with Dylan Harper – Yahoo Sports

NBA Draft 2025: Did the Hornets Overreach for Kon Knueppel? Why the Spurs’ Pick of Dylan Harper Was a Brilliant Move

June 27, 2025
Fossil evidence of proboscidean frugivory and its lasting impact on South American ecosystems – Nature

Fossil evidence of proboscidean frugivory and its lasting impact on South American ecosystems – Nature

June 27, 2025
Distrust in public-health institutions is not just an American problem – The Economist

Distrust in public-health institutions is not just an American problem – The Economist

June 27, 2025
Cuts to federal science spending will cost every American – University of California

Cuts to federal science spending will cost every American – University of California

June 27, 2025
CCTA Bests CV Risk Scores for Bolstering Lifestyle Changes, Medication Uptake – TCTMD.com

CCTA Bests CV Risk Scores for Bolstering Lifestyle Changes, Medication Uptake – TCTMD.com

June 27, 2025
TIFF announces first wave of World Premieres! – TIFF – Toronto International Film Festival

TIFF announces first wave of World Premieres! – TIFF – Toronto International Film Festival

June 27, 2025
With no end to war in sight, Ukraine’s economy teeters on the edge – The Washington Post

Ukraine’s Economy on the Edge as Conflict Shows No End in Sight

June 27, 2025
A typical workday for freelancer Ashley Abramson – Association of Health Care Journalists

A Day in the Life of Freelancer Ashley Abramson: Inside Her Dynamic Workday

June 27, 2025
‘This is not a luxury’: Families in Trump states agonize over GOP’s proposed Medicaid cuts – CNN

Families in Trump States Face Hardship Amid GOP’s Push for Major Medicaid Cuts

June 27, 2025

Categories

Archives

June 2025
MTWTFSS
 1
2345678
9101112131415
16171819202122
23242526272829
30 
« May    
Earth-News.info

The Earth News is an independent English-language daily published Website from all around the World News

Browse by Category

  • Business (20,132)
  • Ecology (699)
  • Economy (719)
  • Entertainment (21,613)
  • General (15,586)
  • Health (9,758)
  • Lifestyle (724)
  • News (22,149)
  • People (721)
  • Politics (726)
  • Science (15,937)
  • Sports (21,216)
  • Technology (15,704)
  • World (699)

Recent News

St. Francis Medical Center brings advanced robotic surgery technology to Northeast Louisiana – KNOE

St. Francis Medical Center brings advanced robotic surgery technology to Northeast Louisiana – KNOE

June 27, 2025
NBA Draft 2025: Did the Hornets reach for Kon Knueppel? And why the Spurs did the right thing with Dylan Harper – Yahoo Sports

NBA Draft 2025: Did the Hornets Overreach for Kon Knueppel? Why the Spurs’ Pick of Dylan Harper Was a Brilliant Move

June 27, 2025
  • About
  • Advertise
  • Privacy & Policy
  • Contact

© 2023 earth-news.info

No Result
View All Result

© 2023 earth-news.info

No Result
View All Result

© 2023 earth-news.info

Go to mobile version