More manufacturing firms plan to cut jobs: survey

WASHINGTON (Reuters) - The number of employers in U.S. manufacturing and service sectors planning to cut jobs rose to a four-year high in December, a survey showed on Friday, amid signs the economy was slipping deeper into recession.

The Society for Human Resources Management's survey covering more than 500 manufacturing and 500 service-sector companies also found that November vacancies in the two sectors were the lowest they have been in four-years.

"For the first time since 2004, more respondents in both manufacturing and service sectors said they would cut payrolls in December rather than add jobs," the SHRM said.

It said about 31 percent of respondents planned to cut payrolls while 20.1 percent planned to hire staff in December.

"The negative net of 10.9 percent represents a sweeping turnaround from December 2007, when a positive net of 27.6 percent of manufacturers conducted hiring for the month," the SHRM said.

In the services sector, 29.5 percent of respondents planned to reduce staff, while 20.4 percent planned to hire more, the survey found.

"That is a major reversal from December 2007, when a net total of 33.3 percent of respondents planned hiring for the month," the SHRM said.

Earlier, government data showed that U.S. employers cut 533,000 non-farm jobs in November, the most in 34 years, after eliminating 320,000 positions in October. The unemployment rate rose to 6.7 percent, highest since 1993. It was at 6.5 percent in October.

(Reporting by Lucia Mutikani; Editing by Dan Grebler)