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Economy

Over 50% of California's employers plan to hire in 2011

Darrell Smith - The Sacramento Bee

January 24, 2011 06:45 AM

Employers feel better about their prospects in 2011, with a majority of California businesses planning to hire new employees and bump up workers' pay, but the recovery continues to be slow going.

California employers were among those polled by the Employers Associations of America for its 2011 Economic Trends Survey.

Like their counterparts across the nation, employers in the Golden State are breathing easier, but aren't ready to celebrate.

California and Sacramento-area unemployment rates remain stuck above 12 percent, though recent increases in online job postings for local positions and hiring activity in the area's tech sector have been encouraging.

"We're seeing movement," said Kim Parker, executive vice president of the California Employers Association. Employers "feel things are going in the right direction, but slowly," Parker said.

In all, 54 percent of California respondents planned to hire new employees, with 46 percent planning to hire in the spring quarter.

About 40 percent of respondents nationally said they planned to add staff, most during the first half of the year, according to the survey.

More than six in 10 California businesses said they expect to increase pay this year, while 54 percent said they planned to keep 401(k) retirement matching contributions in place in 2011.

"Companies are looking at raises and matching 401(k)s. There's a sense of confidence they haven't had in two or three years," Parker said.

To read the complete article, visit www.sacbee.com.

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