SOURCE: Hudson

January 31, 2007 09:00 ET

Fewer Layoffs, Heightened Job Security Encourage Worker Sentiment

Hudson Employment Index(SM) Climbs 1.5 Points to 104.2 in January

NEW YORK, NY -- (MARKET WIRE) -- January 31, 2007 -- The Hudson Employment Index(SM) improved slightly in January, as workers registered less concern about layoffs and more confidence in their job security. The Index rose to 104.2 to start the year, up 1.5 points from December and 1.6 points from one year ago.

Continued Sense of Stability

Workers felt more secure in their current employment in January, as the number of respondents worried about losing their job fell two points to 16 percent. There was also a one-point decrease in the number of employees expecting their company to lay off staff, from 15 percent in December to 14 percent. While both of these figures dropped to all-time record lows, the number of workers stating their employer had plans to hire held steady at 30 percent.

Others Signs Pointing Up

Beyond layoffs and job security, other factors contributing to the Index showed minor improvements as well. Job satisfaction began to rebound in January, as the number of individuals happy with their job rose a point to 74 percent. Additionally, there was a one-point decrease to 37 percent among employees who indicated their finances were getting worse.

"While not discounting the positive implications of the improvement in the Index, the start of the year tends to reveal a greater sense of optimism, resulting from fresh budgets, new hiring plans and generally high hopes for the year," said Steve Wolfe, senior vice president, Hudson. "The true test will be in the months to come if the record low concerns around layoffs and job security concerns are sustained."

Beginning to Look a Lot Like Tax Season

In addition to the rise in confidence among all workers, the start of the year brought a dramatic improvement in sentiment among accounting and finance professionals. All factors contributing to their Index experienced significant gains in January, most notably a 12-point increase in the number of workers indicating their finances were improving.

                 All Workers All Workers    All Workers     Managers
                  Jan 2007    Dec 2006       Jan 2006       Jan 2007

Employment Index    104.2      102.7           102.6          117.2
Expected Layoffs     14%        15%             16%            13%
Concerned About
Job Loss             16%        18%             20%            14%
Indicated Finances
are Improving        42%        41%             42%            51%
*A more detailed data report is available at

Hudson, one of the world's leading professional staffing, outsourcing and talent management solutions providers, publishes the Hudson Employment Index, a monthly measure of U.S. worker confidence in the employment market. Results are not seasonally adjusted. Next month's Hudson Employment Index will be released on March 7.

The Hudson Employment Index

The Hudson Employment Index ( is based on monthly telephone surveys with approximately 9,000 U.S. workers. The Index tracks aggregate employment trends regarding career opportunities, hiring intentions, job satisfaction and retention. The data is compiled each month by Rasmussen Reports, LLC, an independent research firm (

Survey results are segmented by 11 cities: Atlanta, Boston, Chicago, Dallas, Los Angeles, Minneapolis-St. Paul, New York, Philadelphia, San Francisco, Tampa, and Washington, D.C. The Index surveys five occupational sectors: accounting and finance, health care, information technology, manufacturing and legal. The Hudson Employment Index also measures employee confidence by age, gender, race and compensation.

Data reported in this release is based on a national telephone survey of 9,198 working Americans during the month of January. The margin of sampling error for a survey based on this number of interviews is approximately +/-1 percent with a 95 percent level of confidence. The data is not seasonally adjusted. It will be reviewed at year-end to determine if seasonal adjustments are appropriate. The Hudson Employment Index is a service mark owned by Hudson Highland Group, Inc.

About Hudson

Hudson (NASDAQ: HHGP) is a leading provider of permanent recruitment, contract professionals and talent management services worldwide. From single placements to total outsourced solutions, Hudson helps clients achieve greater organizational performance by assessing, recruiting, developing and engaging the best and brightest people for their businesses. The company employs more than 3,600 professionals serving clients and candidates in more than 20 countries. More information is available at

Special Note: Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: Except for historical information contained herein, the statements made in this release constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements involve certain risks and uncertainties, including statements regarding the company's strategic direction, prospects and future results. Certain factors, including factors outside of our control, may cause actual results to differ materially from those contained in the forward-looking statements, including economic and other conditions in the markets in which we operate, risks associated with acquisitions, competition, seasonality and the other risks discussed in our Form 10-K and our other filings made with the Securities and Exchange Commission, which discussions are incorporated in this release by reference.

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