Senior US executives predict boosts in hiring and IT spend, says PwC survey
Senior executives of large US multinational companies predict revenue growth for the next 12 months will continue to be strong, though slightly lower than in 2004, according to PricewaterhouseCoopers Management Barometer survey.
Executives expect big increases in new hiring and IT investments, and are more confident of their ability to deal with legislative and regulatory pressures, competition from overseas markets, decreasing profitability, and weak market demand. Key findings from the survey include:
Senior executives expect 9.6% revenue growth, on average, for the next 12 months, below the 10.1% achieved in 2004.
Almost half (49%) expect increased spending for information technology over the next 12 months, up sharply from 42% in the prior quarter and 40% a year ago.
57% expect to add new workers in the coming 12-months. An average of 2.4% net new hires is expected.
"After a year of double-digit revenue growth, executives at our largest companies believe prospects are good for continued expansion," said John O'Connor, vice-chairman of PricewaterhouseCoopers. "The percentage of companies expecting to add new jobs is the highest since 2001, and a strong indicator for sustained growth."