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Published on: Friday, October 08, 2010

Executive Job Creation Positive for Ninth Consecutive Month


Healthcare, High-Tech Lead Modest but Sustained Hiring Recovery

ExecuNet's benchmark Executive Job Creation Index (EJCI) held positive for a ninth consecutive month in September, reflecting the slow but continuing rebuild of many corporate management teams.

The rate of hiring among employers expected to add executive jobs in the next six months outpaced those planning to eliminate or postpone filling top roles by seven points, extending a positive trend but still weighed down by employer hesitancy to hire for top jobs.

The September Job Creation Index, based on an ExecuNet survey of 147 executive recruiters, reveals that executive recruiters anticipate 44 percent of companies will leverage the economic climate by selectively "trading up" management talent with new hires for existing executive roles, and 23 percent will add new leadership roles.

The number of recruiters expecting companies to wait to fill executive job vacancies decreased to eight percent in September from 13 percent in August. An additional 21 percent of companies are expected to maintain their current management staffing, while four percent are expected to eliminate executive roles over the next six months.

"Executive job creation begins in the strongest industries, and following this recession, we see healthcare, technology and life sciences increasing the pace," says Mark Anderson, president and chief economist of ExecuNet. "We're encouraged to see this growth in executive hiring, but acknowledge it is outpacing hiring by US employers at lower levels, and we don't expect to see any major increase until after the fall elections."

ExecuNet's EJCI is based on a monthly survey of executive search firms and reflects responding executive recruiters' expectations of how companies are managing their executive talent needs. The Job Creation Index compares the number of companies expected to add executive positions over the next six months versus those planning to downsize their management teams or delay filling vacant management roles.

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Joseph Daniel McCool's avatarJoseph Daniel McCool
Joseph Daniel McCool is senior contributing editor with ExecuNet and principal of management recruiting/succession advisory firm The McCool Group. He is also the author of Deciding Who Leads: How Executive Recruiters Drive, Direct & Disrupt the Global Search for Leadership Talent, recognized widely as "one of the best business books of 2008," and its Brazilian Portuguese translation, Escolhendo Líderes, published in June 2010.

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