Pace of state and local government hiring picks up.

• Position: News & Numbers

For the second year in a row, state and local governments are reporting an increase in hiring, according to State and Local Government Workforce: 2015 Trends, an annual survey conducted by the Center for State and Local Government Excellence (SLGE), the International Public Management Association for Human Resources (IPMA-HR), and the National Association of State Personnel Executives (NASPE). Pressure on benefits continues, with employees taking on greater shares of health care costs and contributions to pensions. As a large portion of the workforce becomes eligible for retirement, there is a greater sense of urgency about recruitment, retention, and succession planning.

Of the 334 IPMA-HR and NASPE members who took part in the survey, which was conducted in March and April 2015, 73 percent reported hiring employees in the past year, with 54 percent hiring more than they did in 2013. Forty-two percent reported hiring contract or temporary workers, a significant increase from the previous year.

At the same time, the pace of retirements quickened: 47 percent reported higher levels of retirement in 2014 than 2013, and 13 percent reported employees had accelerated their retirement. One respondent wrote, "Between now and 2020, we are looking at 40 percent of the workforce being able to retire."

One way governments are coping with the talent crunch is to hire temporary or contract employees-- 47 percent reported doing so in 2014, compared to 33 percent in 2013.

Changes to benefits also continue, with 53 percent of respondents reporting that their government made changes to health benefits for both active and retired employees. The most common changes were to shift more costs from the employer to employees (43 percent) and to institute wellness programs (24 percent). And 29 percent indicated that their government altered retirement benefits over the last year, with...