Grant Thornton LLP Business Optimism Index reports little change with U.S. senior executives
Slight uptick in hiring, but majority now believe recession won't end until second half of 2010 or later
CHICAGO, Nov. 30, 2009 - Grant Thornton LLP's Business Optimism Index (www.GrantThornton.com/BOI), a quarterly confidence measure of U.S. business leaders, remained relatively steady at 60.4 in November (it was 60.9 in August 2009). More business leaders say that their companies plan to increase staffing in the next six months - up to 30 percent from 26 percent in August. However, the business leaders' outlook for the future continues to shift, with only one-third (33%) now saying that they expect the economy to come out of recession by the first half of 2010, compared to 58 percent in August 2009.
The survey found that U.S. business leaders' sentiments toward the U.S. economy have decreased slightly, with 53 percent of the respondents expecting conditions to improve over the next six months, down from 58 percent in August 2009. On the other hand, they are more positive about the outlook for their own businesses, with 79 percent feeling optimistic about their companies' growth over the next six months, compared to 73 percent in August 2009.
|
|
11/2008 |
2/2009 |
5/2009 |
8/2009 |
11/2009 |
|
OVERALL Business Optimism Index |
35.6 |
37.6 |
54.5 |
60.9 |
60.4 |
|
Believe U.S. economy will improve |
13% |
17% |
45% |
58% |
53% |
|
Believe U.S. economy will worsen |
63% |
49% |
13% |
7% |
13% |
|
Very or somewhat optimistic about own business |
44% |
43% |
62% |
73% |
79% |
|
Very or somewhat pessimistic about own business |
57% |
57% |
38% |
27% |
21% |
|
Plan to increase staff |
15% |
9% |
20% |
26% |
30% |
|
Plan to decrease staff |
43% |
45% |
30% |
18% |
18% |
|
When do you think the economy will come out of recession? |
||
|
|
8/2009 |
11/2009 |
|
Before the end of 2009 |
15% |
10% |
|
First half of 2010 |
27% |
23% |
|
Second half of 2010 |
35% |
46% |
|
2011 |
17% |
19% |
|
Later |
7% |
3% |
* Percentages may not total 100 due to rounding.
About the Grant Thornton Business Optimism Index
The Grant Thornton Business Optimism Index, a quarterly survey of U.S. business leaders, comprises three measures:
- U.S. economy: Business leaders' perceptions of whether the U.S. economy will improve, remain the same or deteriorate in the next six months.
- Business growth: Business leaders' perceptions about the growth of their own businesses over the next six months.
- Hiring expectations: Whether business leaders expect the number of people their companies employ to increase, remain the same or decrease in the next six months.
The survey was conducted between Nov. 3 and Nov. 17, 2009. More than 360 senior executives from various industries responded to the survey. To see all the survey findings, please visit www.GrantThornton.com/BOI.
- ends -
About Grant Thornton LLP
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In the U.S., visit Grant Thornton LLP at www.GrantThornton.com.
