The Sconi

The latest Wisconsin Employer Survey, conducted by Wisconsin Manufacturers & Commerce (WMC), indicates a decrease in the number of businesses struggling to find workers. The survey shows that 63 percent of respondents reported difficulties in hiring, down from 72 percent a year ago and 68 percent last summer. This is the lowest percentage since winter 2015 when it was at 63.9 percent.

Kurt Bauer, WMC President & CEO, commented on the findings: “The most probable explanation is because the demand for workers has slowed.” Despite this improvement, labor shortages remain a significant concern alongside rising health care costs, which are seen as top public policy issues in Wisconsin.

The survey highlights that 41 percent of respondents believe making health care more affordable would be beneficial for their businesses, up from 30 percent last summer. There is modest optimism regarding the state and national economies. While only 26 percent view the state economy as strong—up from 22 percent a year ago—68 percent see it as moderate and 6 percent as weak. Similarly, just 18 percent consider the U.S. economy strong, an increase from 10 percent previously; meanwhile, 61 percent say it is moderate and 19 percent rate it as weak.

Profitability appears to be improving with 85 percent of businesses reporting profits in the latter half of 2024 and a predicted increase to 96 percent for early 2025. Economic forecasts are positive with expectations of growth: 63 percent foresee growth in Wisconsin's economy during the first half of the year while only 34 percent expect it to remain flat. For the U.S., growth predictions stand at 75 percent with just 21 percent anticipating stagnation.

Bauer noted an optimistic outlook among business leaders entering into the new year despite reduced worker demand: “Clearly, business leaders are more optimistic entering 2025 than they were a year ago.”

The semiannual survey provides insights into employers' perspectives on economic conditions and policy issues affecting their operations in Wisconsin and across the U.S., based on responses from a representative sample of WMC’s membership comprising various sizes and sectors statewide.