Manufacturing News

Strong global manufacturing growth not translating to jobs

The JP Morgan Global Manufacturing PMI has shown that manufacturing continues to grow worldwide, with the best result since May 2011, but employment remaining stagnant.

The Global Report on Manufacturing, based on surveys of more than 10,000 purchasing managers in 32 nations, showed a score of 51.8 for September, up from 51.6 in August.

A score of 50 in the composite index denotes no change, and one above indicates growth.

The PMI noted that this was the 11th straight month of increased growth, with developed nations leading the way, stagnation in China, Brazil and Indonesia stagnating.

However, the continued growth did not lead to a big gain in employment.

“September data pointed to a negligible gain in staffing levels, continuing a sequence of near-stagnation in the labour market that has been seen through the year-to-date,” according to the PMI.

This week Australia’s PMI returned to growth, with the for September survey, conducted by the Ai Group, registering a score of 51.7, the first positive result since September 2011.

As with the global result, employment didn’t follow overall growth, and the subsection was “mildly contractionary at 48.5 points”.Image: http://www.evolvefurnituregroup.com/evolvearth.html

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