Shortages of skilled workers remain a problem at many firms, especially in the communications industry. An electronics firm indicated that labor shortages there have been eased by in-migration from other regions. Temporary employment agencies in the District report that labor demand has leveled off after several months of rapid growth. Still, the demand for workers remains well above year-ago levels. Moreover, temp agencies report that a high proportion of placements become permanent hires before the standard 90-day contract has expired.
Most firms report a small rise in the rate of wage growth, and retention bonuses have become common.
Collective bargaining settlements in the District reveal mixed wage patterns. About half of the union contacts report a slight increase in wage growth from this time last year, while others see wages holding steady. Agriculture Crop development varies throughout the District, depending on soil conditions. Dry soil is reported in the northwest Ohio and Pennsylvania regions, while flooding has been a problem in southeast Ohio and Kentucky. Nevertheless, the District's crops are generally ahead of schedule.