DES MOINES, IOWA (April 12, 2023) — The Iowa Business Council (IBC) has released its first-quarter Economic Outlook Survey (EOS) for 2023. The report measures member expectations for sales, capital spending, and employment for the next six months. If the index measures above fifty, sentiment is positive. The first-quarter survey's overall economic outlook index is 59.72, an increase of 0.46 index points from the 2022 fourth-quarter report.
Although the overall EOS index is flat, the results project continued confidence in Iowa’s economy and across all aspects measured by the IBC including expectations for sales, capital spending, and employment.
Sales expectations among IBC members decreased by 2.78 index points to a value of 65.28. Capital-spending expectations increased by 2.77 index points to 56.94 and employment expectations increased by 1.38 index points to a value of 56.94.
Concerns relating to workforce attraction and retention remain the number-one concern with 83% IBC executives listing it as a primary business challenge. 56% of IBC executives surveyed stated inflation as a primary business concern while 56% further reported an unfavorable business climate as a top challenge.
From a workforce perspective, 94% of IBC executives surveyed report that it is somewhat to very difficult to hire employees while reporting more than 5,500 currently open/available positions in Iowa.
“The fact that IBC members continue to project confidence in Iowa’s overall economy is significant,” stated Phil Jasper, President of Mission Systems for Collins Aerospace and Chair of the Iowa Business Council. “The business community continues to be optimistic about the future direction of our state and we will remain steadfast as an organization to bring forth policies and solutions that enhance Iowa’s ability to expand business in Iowa,” he added.
“As the legislature works towards adjournment, the IBC will remain engaged with the General Assembly and the Governor’s office in advancing pro-growth strategies that increase our ability to attract and retain business and workforce opportunities in Iowa,” said Iowa Business Council President Joe Murphy.
The Economic Outlook Survey has been completed by IBC members on a quarterly basis since 2004. The report provides insight regarding the projected trends for the state of Iowa, which can be used for business and economic planning. The reported trends have a state-wide impact, especially when considering that IBC companies have a presence in all 99 counties. To review previous Economic Outlook Surveys, please visit iowabusinesscouncil.org/news/eos.
About the Iowa Business Council
The Iowa Business Council (IBC) is a nonpartisan, non-profit organization whose 21 members are the chief decision-makers of major Iowa employers. Employing over 150,000 Iowans, IBC member companies have invested billions of dollars of capital in Iowa's commercial infrastructure; lead the way in technology innovation, R&D, and grants procured; and are often the driving financial and volunteer forces behind philanthropic efforts all over the state.
IBC member companies include: Alliant Energy; Casey’s General Stores Inc; Collins Aerospace; Corteva Agriscience; Deere and Company; Fareway; HNI Corporation; Hy-Vee Inc, Iowa Bankers Association; Kent Corporation; MercyOne; MidAmerican Energy Company; Pella Corporation; Principal; Ruan Transportation Management Systems; The Weitz Company; UnityPoint Health; Vermeer Corporation; Wellmark Blue Cross Blue Shield of Iowa; Wells Enterprises Inc; and Workiva.
