NEW YORK (CNN/Money) - The March employment report may have disappointed economists and investors looking for more robust job growth, but another monthly survey shows layoff announcements fell by 20 percent in the month.

The survey, unveiled Tuesday by outplacement firm Challenger, Gray & Christmas, found that employers announced 86,396 job cuts in March. That was the lowest number since last August. The survey has found more than 100,000 job cut announcements each month since then.

On Friday, the Labor Department reported that there was a net gain of 110,000 jobs on U.S. payrolls in March, only half of what economists had forecast. John Challenger, CEO of the search firm, said both the employment report and his firm's survey show how difficult it is to predict the labor market strength right now.

"The only clear picture we have from the job cut numbers this year is that employers appear to be confused about the direction this economy is taking," said Challenger in a statement. "Companies are experiencing increased business, but they are also seeing their costs soar due to higher fuel prices, inflation in supplier prices and a weaker dollar, which makes it more expensive to buy foreign parts."

Robert Brusca, economist with FAO Economics, said that even with the improved March number from Challenger, the layoff announcements suggest weakness in the labor market.

He pointed to other measures such as moving averages and comparisons to historical data to suggest even the March number isn't as strong as it appears at first glance.

"Two of the three recent months are above the midpoint line that divides the average layoff performance in recessions from normal layoff periods. This suggests the job market is getting to be more like it is in bad times than in good times," Brusca said in a note on the report.

In addition to the drop in layoffs, a second survey by Challenger found hiring plans falling by more than half to 18,509 from 41,984 in February. It was the weakest number for hiring announcements since October when employers announced plans to add 11,425 jobs.

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