Philadelphia Manufacturing Industry Shows Continued Employment Growth
According to the Manufacturing Business Outlook Survey, the Philadelphia region can look forward to continued growth in the manufacturing industry. Although the activity index fell from its high reading in August, other indicators grew last month. The survey predicts employment activity to be on the upswing over the next six months. Employment is at it's highest since May of 2011. Firms are reporting a 26 percent increase in hires. Approximately 44 percent of the firms expect growth in employment over the next six months, an increase of 12 points in the employment index was at its highest since May 2011.
Input prices (labor and capital) for manufacturers were slightly higher than last month. They rose two points in the price paid index (changes in the prices paid for goods). Manufacturers' final goods prices were also slightly higher this month, rising from 4.2 to 8.8.
New orders and shipments are higher for the month of September in the manufacturing sector. Both unfilled orders and shipments are higher than August's outlook survey, which indicates strong improvements for the manufacturing sector. Most manufacturers expect about two percent production growth in the third quarter of 2014.
Manufacturing Business Outlook Survey reports that September shows continued growth in the Philadelphia region's manufacturing industry. Continued increase in activity in manufacturing is expected with shipments, new orders, and employment for the month of September. Firms continue to feel optimistic about growth in the manufacturing sector and expect employment increases over the next six months.
Christina Thompson is a freelance writer living in Philadelphia. Her work can be found at Examiner.com.
