Philadelphia manufacturing beats projections

Philadelphia manufacturing is expanding at a far greater rate than expected, signaling a stronger economy and sparking hopes for future growth in the industry. The Federal Reserve Bank of Philadelphia's general economic index dropped to 19.8 in October, down from a two-year high of 22.3 last month. Despite the drop in the index, results are positive overall as any reading greater than zero signifies growth. This reading also beat economists' forecasts – a Bloomberg survey of 56 economists predicted an October reading of 15.

The positive reading is due largely to continued consumer demand for home-related goods and automobiles, which has driven manufacturing rates for years. Furthermore, improved home values and stock prices have given consumers more freedom in their budgets to spend more on manufactured items.

The Philadelphia Fed index measured new manufacturing orders at 27.5, a significant increase from September's 21.2 reading, making it the highest rating since March 2011. Philadelphia manufacturers also reported high levels of optimism. The outlook index for the next six months of manufacturing is up to 60.8 from September's 58.2 reading, bringing optimism to its highest levels in 10 years.

As manufacturing improves, hiring may become tougher
The Philadelphia Fed report also found employment rose to an index reading of 15.4 in October, up from 10.3 last month and the highest reading since May 2011. As more manufacturers increase their staff, some may find it difficult to find new hires. These individuals can use manufacturing recruiters to track down the right candidate for a job, making the hiring process easy and efficient.

Often, company owners and managers are busy taking care of the daily operations of the business and do not have time to fully handle the talent screening process. From scouting around online for new hires to checking references and holding interviews, the hiring process can be arduous. Rather than trying to handle these tasks on their own, business owners can enlist the help of manufacturing recruiters, who are trained to find talented workers and match them up with great companies. Manufacturing recruiters have a constant new flow of job seekers who are looking for employment – when a company comes to a staffing firm, they will gain access to this large pool of talented candidates who are ready to go to work.