American Workers Confidence Down, but Not Out

American worker confidence dipped in June, but it still remains three points higher that the same period last year, according to Randstad’s newest Employee Confidence Index.

The ECI was 51.1, a dip of 2.1 points and the third consecutive monthly decline in overall confidence levels among American workers. But while job creation has been sluggish (the economy added only 69,000 jobs in May), employee confidence in the ability to find a new job is up four points over January’s reading. In both May and June, 41 percent of respondents expressed confidence in being able to find new employment, the Index revealed.

"While the economy has unquestionably added jobs at a very modest pace, it is certainly interesting to see that workers remain confident about the stability of their current jobs, employers and ability to find employment,” Joanie Ruge, SVP & chief employment analyst for Randstad Holding, said in a statement. "It is clear, however, that the economy and job market are continuing to weigh heavily on the minds of U.S. workers. This sentiment will also likely remain for employers as they look towards the second half of what has proven to be a year of caution. In fact, many expect this mindset to remain as we head closer to the November U.S. presidential election…With the more than eight million jobs lost since the start of the financial crisis, roughly 3.8 million have been added back. Job creation will continue to be a top priority as we reach the final few quarters of 2012." 

The online survey polled 1,253 employed American adults ages 18 and over. Three key indices are measured how likely respondents think it is they will lose their job or that their job will be eliminated in the next year, how likely respondents are to look for a new job in the next 12 months, and employees’ overall confidence in the economy, their employer and their ability to find other employment.

In June, just less than a quarter (24 percent) of employees said they believe the economy is getting stronger; down from a year-high 32 percent in March. During the first six months of 2012, 49 percent believe fewer jobs were available. Nineteen percent believe more jobs are available.

A majority of workers (61 percent) over the last six months, indicate that they are confident in the future of their companies Worker confidence in ability to find a new job fell to 41 percent after reaching a six-month high in April of 46 percent

Employee confidence in the securityof their jobs registered at 71 percent in June. It has remained above 70 percent over the last four months.