BLOOMBERG: Companies in the U.S. are relying on existing workers and temporary employees instead of hiring, helping to explain why payrolls grew less than forecast in June.
The average workweek rose for the first time since February and temporary staffing climbed for a third consecutive month, according to Labor Department figures issued in Washington yesterday. The report also showed payrolls advanced by 80,000 workers, less than the median estimate in a Bloomberg News survey of economists, and the jobless rate held at 8.2 percent. …
“Firms are still seeing an increase in demand, and there is a need for more labor,” said Nigel Gault, chief U.S. economist at IHS Global Insight in Lexington, Massachusetts.“But there are so many risks out there that businesses don’t want to commit to hiring full-time employees.” … (more)
