United States Job Market Likely to Continue Improving in 2006

The biggest job gains are expected to come in the financial services, technology, health care, energy and international business sectors, which together could create as many as 1.3 million jobs next year, according to the 2006 job market outlook released in December by global outplacement firm Challenger, Gray & Christmas Inc.

“A return to a late 1990s-style hiring frenzy may be only a matter of time,” said John A. Challenger, chief executive officer of Challenger, Gray & Christmas. Employers are adding jobs at a strong pace and there is no indication that this will weaken in the coming months. More than 1.7 million jobs have been added in 2005.

The Challenger annual forecast also listed the top job categories that employers will be clamoring to fill. These include accountants, petroleum engineers, financial planners, physical therapists, computer support specialists and international sales and marketing managers.

Several signs point toward continued hiring in 2006. In a post-Hurricane Katrina survey by the Business Roundtable, 33 percent of chief executive officers from the nation’s largest corporations said they expected to increase their payrolls in the next six months.

Another survey found that 66 percent of small and medium-sized companies — which employ the most Americans — plan to add employees in 2006.

The National Academy of Sciences recently reported that American universities graduated just 70,000 engineers in 2004, compared to 500,000 in China and 200,000 in India.

“Those who enter the 2006 job market with math, science and other technology skills can write their own ticket,” Challenger said. “The key to success is always keeping these skills up to date. Those who graduated 10 years ago with degrees in computer engineering but have not kept up with the rapid changes taking place in the field should not be surprised by the lack of job offers.”

Sales and marketing executives specializing in international markets will be particularly sought after as American firms try to tap the growing populations of middle-class consumers in China and India.

“No amount of protectionist measures will keep the global economy from burgeoning,” Challenger said. “The Internet has made sure of that. Those who embrace the change and adapt will reap the rewards of higher profits and increased job creation. Those who yield to pressure from isolationists will be left behind.