“Cautious optimism” seems to characterize employers’ attitudes about the economy, according to a September survey by the International Foundation of Employee Benefit Plans. 

Asked if the worst of the recession was over, 40% of the survey respondents agreed or strongly agreed, and 33% were neutral. Only 27% percent disagreed or strongly disagreed. 

However, a strong majority of respondents (87%) said that the path to economic recovery will be much slower than previous recessions. This belief apparently is causing employers to hold off on hiring. 

Staffing plans 

IFEBP reports that during the past year, more than half of employers (52%) have reduced their workforce or laid off employees, 49% have implemented a hiring freeze, 42% have frozen wages and 16% have reduced wages. 

Of the employers responding to last month’s survey, just 3% plan to make layoffs in the next six months, 2% expect to implement a hiring freeze, 4% plan to freeze wages and 3% expect to reduce wages. 

Although employers are optimistic they will not have to make more cuts, the vast majority, 90%, do not expect to increase hiring in the next six months. 

As of September 2009, employers state their employees’ main concern is market losses in funds and underfunded retirement plans (47%), followed by decreased job security (31%) and delayed retirement (21%). This is a change from May, when decreased job security was cited as employees’ main concern (48%) and from October 2008 when delayed retirement was the main concern (46%), states IFEBP.