DBM Research Shows Job Market Slow to Rebound in Improving Economy

Job Seekers Continue to Face Lower Salaries and Opt for '180 Degree' Career Switch to Secure a New Job

New York, NY, (PRWEB) March 17, 2004 - DBM, a global human resources consulting firm, today released the results of its annual U.S. Career Transition Study -- a report on job search trends from people who experienced a career transition in 2003. Overall findings indicate a reluctance in corporate America to increase hiring, even as the economy rebounds.

As consumer spending increases -- strengthening the economy -- corporate America watches and waits," said Tom Silveri, President and CEO, DBM. Many factors are impacting the 'jobless recovery were experiencing. For example, organizations are being conservative with hiring practices and wont aggressively invest in new employees until the economy shows a marked improvement over an extended period of time. Simultaneously, companies are taking this opportunity to reconsider the structure of their organizations to meet the needs of the changing business climate. Add to these factors a continued emphasis on cost cutting, off-shoring, and a 'bottom line mentality, and you get a slow-to-recover job market."

According to the study, 79 percent of DBM clients experienced a downsizing or reorganization in 2003, a four percent increase from the previous year. Other indications of a competitive job market included the willingness for job seekers to secure re-employment in another industry (77 percent) and/or another function (49 percent). On average, transitioning workers accepted a salary decrease of eight percent to land a new job. The new salaries job seekers accepted in 2003 were 10 percent lower than those in 2002.

Were finding that many job seekers must reinvent themselves to secure a new job," added Silveri. These '180 degree executives invest in researching new industries and functions that speak to their personal and professional interests, goals, and competencies. Industry and/or functional moves typically mean a slight salary decrease until the employee establishes him or herself in their new role."

In 2004, job seekers will continue to face a challenging job market. However, it is likely that there will be growth in hiring within certain industries. For example, DBMs survey findings indicated the financial sector would continue to ramp up hiring practices this year, following an eight percent increase in re-employment within the industry in 2003. The public service and pharmaceutical industries also showed an increase in hiring, and will most likely continue the hiring trend this year.

Additional findings included:
- Job seekers continue to find networking (60 percent) to be the best way to secure a new job, followed by the Internet (six percent), and search firms (five percent).
- The average severance package for executives showed a one-week decrease in 2003 (20 weeks) from the previous year.
- Tenure in job seekers last job remained the same (six years).

During the year, DBM worked with more than 64,000 people who participated in individual career transition programs worldwide. This study is a reflection of findings from a sample of 6,186 of those individuals with whom the company worked with in the U.S. Respondents had a median age of 44 years and 67 percent of those surveyed were male.

About DBM
DBM (www.dbm.com) is the world's leading provider of strategic human resource solutions that help organizations align their workforces to meet changing business needs. Known for over 35 years for its innovative and effective career transition services, DBM offers in-depth capabilities in employee transition, retention, development, and selection. Founded in 1967, the company has more than 230 locations in 51 countries.