Despite concerns over inflation, supply chain and employee recruitment and retention, half of Long Island employers plan to expand their workforce.

That’s according to the Long Island Economic Survey, conducted by Adelphi University and Citrin Cooperman, an accounting firm. The results were released last week at the HIA-LI’s annual economic summit at the Hamlet Golf & Country Club in Commack.

“From the HIA-LI standpoint, 2022 was a year of rebuilding for many of us,” Terri Alessi-Miceli, president and CEO of HIA-LI, said at the summit. “Our members tell me that they’re cautiously optimistic about the future, yet they still struggle with the availability of skilled workers.”

The poll surveyed more than 200 executives during November and December. In the survey, executives were asked about the most important issues on Long Island. Inflation and taxes were each cited by 22% of the respondents. A third said workforce challenges is a top issue: 17% cited retention of young professionals and young families, and 17% cited the availability of workers with necessary skills.

Still, 49% expect to increase their overall number of their employees this year. Thirty-one percent expect to augment their Long Island-based workforce, 4% will do more hiring outside Long Island, and 14% plan to expand hiring efforts both on and outside Long Island. Yet 43% do not expect to increase staff, and 8% were unsure.

Executives were fairly optimistic about anticipated revenue and net profits for 2023. Thirty-nine percent expected revenue growth, while 50% expected level growth. Yet 10% expected a decline in revenues this year.

And 38% expect to expand their Long Island-based businesses in 2023. Leaders in this category were healthcare, followed by restaurants and hospitality.

When asked how concerned they were about inflation and its effect on their business, 62% were “very concerned.” Thirty-one percent were “somewhat concerned,” and 7% were “slightly concerned.”

And 65% said they were affected by disruptions to the global supply chain. Most anticipated that supply chain issues would continue for another six months to two years.

At the summit, Rep. Nick LaLota, pledged to work on behalf of the Long Island business community.

“I know that government doesn’t always make it easy on you folks to make your payrolls and to ensure that you have a successful business,” LaLota said, “but I can tell you that we’re here to make it work for you.”

“Inflation is a major concern for most businesses,” said Michael Sabatini, a partner with Citrin Cooperman who moderated the panel. “More than half of those surveyed said they’ve taken some action against inflation, taking such steps as raising prices, increasing labor costs, and looking at automation.”

Panelist Kevin O’Connor, CEO of Dime Community Bank, said he had attended a speaking engagement the day before featuring John Williams, chairman of the New York Federal Reserve.

“Some people are predicting that the Fed will be done with its rate increases or even start to let rates drop in the second half of this year,” O’Connor said. “But I don’t think anybody leaving that room yesterday was thinking that that’s really what’s going to happen.”

Panelist Renee Daniel Flager, executive director of Girls Inc. of Long Island, said that inflation and economic uncertainty has impacted fundraising efforts of the non-profit sector.

“Unfortunately, we are seeing less discretionary income and less funding from the business community, which is our biggest supporter, coming into the non-profit world,” Flager said. “They’re more cautious about giving.”

“One big challenge has been the attraction and retention of young professionals,” said panelist Rich Humann, president and CEO of H2M architects + engineers. “To address this, we’ve been implementing strong flexibility programs, and trying to accommodate the needs of our staff and understand what they’re looking for in their career.”

MaryAnne Hyland, dean of the Robert B. Willumstad School of Business at Adelphi University, addressed the need for higher education to help build sound career paths for students.

“Many of our students are local residents and they want to remain here,” Hyland said. “So we have to look at the regional industries that are growing, such as healthcare. We’re developing degrees and programs in both the clinical and non-clinical spheres of that sector.”

“We’re very much focused on attracting members of the community into the healthcare space,” said panelist Dr. Patrick O’Shaughnessy, president and CEO of Catholic Health Services. “So, over the last two years, we’ve invested more than $30 million into paying our staff fair and competitive wages. We also recognize that people want a career and not just a job, so we’re building careers for our employees.”

A large majority of the survey’s respondents generate less than $100 million in revenue. More than three-quarters of the participants have been in operation 20 years or more. While respondents came from many industries, those with the largest representation were professional services (21%) and manufacturing, distribution and retail (17%). Most respondents (52%) were based in Suffolk County. Ten percent were situated in Nassau County, and 32 %were based in both counties.