Semper Survey Finds Rebound in Industry Outlook, Willingness to Hire

BOSTON—Feb. 15, 2011—Semper International, a leading placement firm for skilled help in the graphic arts and printing industry, announces that, according to its research, the printing industry may finally be starting its recovery from the economic downturn. Results of its most recent “Industry Insight” survey show a positive outlook and an increased willingness to hire among respondents

The most recent survey found:

• 73 percent of companies surveyed had a profitable Q4. This represents an increase of nearly 13 percentage points over the previous quarter.

• Looking at the first two weeks of Q1, current sales are stagnant compared to last quarter, likely an indication of the traditional January slowdown. The number of companies reporting a decrease in sales or no change remained approximately the same as last quarter.

• A mere 12.5 percent of the companies interviewed expected sales to decrease through the remainder of Q1, 2011. Last quarter, nearly 20 percent expected a sales decrease.

• The vast majority of respondents indicated that hiring levels will remain the same or increase. There was a marked increase in companies hiring.

• More than two-thirds of companies reported that healthcare is the labor cost component that increased the fastest last quarter—that percentage was nearly five times greater than those reporting base pay, the next component. Companies are taking steps to control costs, but healthcare has remained the fastest growing component of cost for the last four quarters.

• The greatest competitive threat to printers reported remains largely unchanged from last quarter. Technology (48 percent)—the fear of what competititors are doing and how a company may need to respond—is seen as the biggest threat, far exceeding supply costs (26 percent) and labor costs (19 percent).

• Print buyers place the greatest pricing pressure on offset printing (47 percent), but the pressure has eased somewhat from last quarter. Material cost pressures jumped 4 percentage points.

• Referrals (37 percent) and online searches (33 percent) seem to be the most popular ways to find employees. These methods continue to put pressure on traditional help wanted advertising, which continued its downward trend, dropping another 4 percentage points.

“The more people working, the more who can purchase goods and services (and pay mortgages), creating a positive feedback loop and faster, sustained growth,” notes Dave Regan, CEO Semper International. “Watch for some negative news about the slowdown at the end of 2010 coupled with the recent GDP contractions in the U.K. and Japan, that may cause some concern in a few weeks. Positive news is critical at this time to help build economic momentum.”

Since February 2003, Semper International has provided a quarterly survey offering estimates of trends in the printing and graphics industries. To prevent bias, survey questions—both qualitative and quantitative—are designed by Semper corporate partner Cvent. Survey participants include more than 300 small, medium and large printing companies; both clients and prospects of Semper International. Participants provide data on revenue and hiring as well as estimated outlooks on future trends. Data is requested from a random sample and are not screened. To preserve confidentiality, individual company information is not part of the tabulation.

To participate in future surveys, please email always@semperllc.com. More information is available on the Semper International Website.

About Semper International
Semper International is a temporary help placement firm founded and staffed by professionals who were raised and trained in the printing and graphic arts industry, and who understand the innate needs and demands of the profession. Semper has a thorough understanding of all the positions, equipment, and software essential to the business, which assures a perfect employee - employer match.

The Semper team constantly monitors job market trends in the industry. They understood the changes that occurred in job responsibilities when electronic prepress replaced the typesetter and mechanicals, and similarly understands the impact trends such as direct-to-plate and digital print have on staffing.

To provide career growth, Semper offers Semper University, an online training program for its employees to help prepare conventional printing professionals for upcoming changes in the industry. Realizing how the Internet is revolutionizing the industry, Semper also works with the most talented web designers, graphic designers, desktop publishers and production managers.

Semper has offices in Boston (HQ), Atlanta, Baltimore, Chicago, Dallas, San Francisco, Los Angeles, Long Beach, Minneapolis and Wayne NJ. Direct Hire services for sales and management positions are conducted throughout the country.

Source: Company press release.