September Jobs Report

September Jobs Report: Unemployment Rate Hits 50-Year Low

Last month, the unemployment rate declined to 3.5 percent, the lowest it has been since December 1969. That’s a 0.2 percent decline from the previous month. It’s also the 19th month in a row that the unemployment rate was at or below 4 percent. Additionally, employers throughout September added 136,000 jobs, short of economists’ predictions of 147,000 jobs. Despite missing projections, job gains throughout 2019 have averaged an impressive 161,000 per month.

Let’s take a detailed look at the September Jobs Report.

Employers keep adding jobs despite worries of economic growth

September 2019 was the 108th month in a row of payroll job gains. In other words, despite a shaky stock market this last week and fears of global growth cooling off, employers keep hiring at a remarkable pace.

Over the past two months, payroll employment was positively revised by an additional 45,000 job gains than previously reported. In July, job gains were revised from 159,000 to 166,000 jobs (+7,000 jobs) and from 130,000 gains in August to 168,000. After revisions, monthly job gains have averaged 157,000 over the last three months.

Unemployment claims also remained steady throughout the month at 219,000 for the week ending on September 28. The unemployment ratio (61 percent) was little changed over the month as the labor force participation rate held to 63.2 percent in September. Additionally, the number of unemployed persons decreased by 275,000 to a total of 5.8 million last month. In other words, the labor market is continuing to add jobs, while the number of unemployed Americans continues to decline, which illustrates the true strength of today’s job market.

September Jobs Report: Gains by industry

Last month, healthcare employers added 39,000 jobs, which was on par with the industry’s average monthly gains over the previous 12 months. Both ambulatory healthcare services (+29,000) and hospitals (+8,000) added jobs over the month.

The professional and business services industry continued to grow with an additional 34,000 job gains throughout the month. In 2019, the industry has averaged monthly gains of 35,000.

Employment in government resumed its growth with gains of 22,000 jobs. Over the last 12 months, government job gains have totaled 147,000, mainly coming from local government positions.

The transportation and warehousing industry edged upward in September with 16,000 job gains. Gains from this industry originated from both transit and ground passenger transportation (+11,000) and in couriers and messengers (+4,000).

Retail trade took another hit with the loss of 11,000 jobs. However, this number is consistent with last month’s report. Despite this decline, food and beverage stores added 9,000 jobs throughout the month.

Employment in all other major industries, including mining, construction, manufacturing, wholesale trade, information, financial activities, and leisure and hospitality, showed little change over the month.

Finding the talent you need in Q4

With hundreds of thousands of jobs added throughout the first three quarters of 2019, it is becoming increasingly difficult for employers to find candidates to fill their open positions. If you’re a worker thinking about making a career move, now is a great time to transition into a new role and make a jump in your career. But if you’re a hiring manager, this tight market can be frustrating. If your team needs a helping hand to navigate today’s job market, reach out to one of our recruiters at JSG. Let’s team up and work together to find the talent your organization needs to keep production healthy in the final quarter of 2019.

September 2019 JOLTS Report

September 2019 JOLTS Report

September 2019 JOLTS Report

The results are in, and the latest JOLTS Report from the Bureau of Labor Statistics shows that the labor market is still standing strong. The number of job openings showed little change on the last business day of July 2019, with 7.22 million job openings. However, one thing to notice was the significant jump in the number of hires throughout the month (6 million). With a consistent amount of job openings coupled with another recording-breaking quit rate (2.4 percent), workers are gaining more and more confidence to enter today’s active labor market. Check out our summary of the latest BLS’ latest JOLTS Report.

September 2019 JOLTS Report:

  • Job Openings: 7.22 million
  • Hires: 6.0 million
  • Total number of people who left their jobs: 5.8 million
    • Voluntarily: 3.6 million
    • Involuntarily:  1.8 million

The Job Market Keeps Going Strong

Over the second half of the year, the labor market is still holding firm. The number of job openings declined from 7.3 million to 7.22 million; however, the number of hires jumped to over 6.0 million during the month of July. And over the last twelve months, the net employment gain equals a total of 2.6 million hires. And if you pair that with the latest Jobs Report that pumped out an increase of 130,000 jobs, this positive trend appears to be continuing into the Fourth Quarter.

Additionally, the unemployment rate has remained consistent through the second half of 2019. The unemployment rate has been 3.7 percent for the last three months, and in the previous 18 months, it’s held under 4 percent. If you combine that with an all-time high quit rate of 3.4 percent (3.6 million voluntary quits), the outlook for the labor market looks optimistic. An increase in quits illustrates that workers are confident in the labor market and are choosing to quit their current roles in the search for better opportunities. 

If that isn’t enough proof for you, the average hourly wages of U.S. workers keeps climbing month after month. In August, hourly wages rose by $0.11 to $28.11. Over the past 12 months, wages have increased by over 3.2 percent. This is making the job market more attractive for passive candidates, and thus, will likely increase the quite rate as we head into Q4.

How to find the talent your team needs?

As you’ve probably experienced first-hand, the labor market is strong and doesn’t appear to be slowing down as we inch closer to 2020. If you are like the majority of employers in today’s market, it can be difficult at times to attract new talent to your organization. If you need help navigating this candidate-driven market, don’t go at it alone. After all, the cost of vacancy keeps climbing the longer you have critical positions open. So, partner with one of our recruiters today to ensure your roles get filled quickly and you don’t experience any production hiccups.

Jobs Report

August 2019 Jobs Report: 130,000 Jobs Added

Jobs Report

For the third month in a row, the unemployment rate remained 3.7 percent, according to the Bureau of Labor Statistics. That’s the 18th straight month of the unemployment rate being at or below 4 percent. Moreover, the employment of nonfarm payrolls rose by 130,000, short of economists’ predictions of 150,000. Despite missing expectations, job growth has averaged 158,000 per month so far this year. Here’s a deep dive of the latest jobs report.

Larger wages, fewer unemployment claims

In August, the number of unemployed persons was essentially unchanged at 6 million people. Additionally, average hourly earnings continued to increase by $0.11 to $28.11. That’s following an $0.18 raise over the last two months. Over the previous 12 months, average hourly earnings have increased by 3.2 percent.

While wages have steadily grown this year, the number of unemployment claims have declined. According to the Department of Labor, the total number of people claiming benefits in all programs for the week ending August 17 was 1,639,605, a decrease of 4,710 from the previous week. That’s over 9,000 fewer claims than this time last year. Thus, on average workers are making more money, and fewer people are receiving unemployment benefits.

Jobs Report revisions

In June, job gains were revised down by 15,000 from 193,000 to 178,000. And for July, jobs were revised down by 5,000 from 164,000 to 159,000. That equates to a net decrease of 20,000 job gains from the previous two months. However, over the last three months, job gains have averaged 156,000.

Job gains by industry

The federal government saw a steep increase last month with 28,000 open jobs. This was primarily due to a massive hiring surge of 25,000 temporary workers to prepare for the 2020 Census.

The healthcare industry came in a close second with 24,000 job gains over the month. And over the last 12 months, healthcare added 392,000 jobs. Ambulatory healthcare services were once again, the most significant contributor of this with 12,000 jobs.

The financial sector added another 15,000 jobs, with roughly half of those jobs occurring in insurance carriers and related activities. Over the year, the financial sector has added 111,000 jobs.

Once again, the professional and business services industry continued to climb upwards with 37,000 job gains. This industry has averaged 34,000 jobs throughout the year, largely due to computer systems design.

Employment in social assistance propelled upwards again with 13,000 jobs. Social assistance gob gains have averaged over 100,000 jobs over the last six months.

Retail trade (-11,000) and mining (-6,000) both saw declines over the month. Over the year, retail trade has lost 80,000 jobs.

All other industries, including construction, manufacturing, transportation, and warehousing, and leisure and hospitality saw little change over the month.

Finding talent in today’s tight market

Nearly every American who wants to work can easily find a job in today’s market. As more Americans re-enter the workforce and stop receiving unemployment benefits, it’s becoming increasingly difficult to find qualified candidates to fill your critical roles. If you need assistance navigating the tight labor market, why not partner with a recruiter that specializes in your industry? Let’s work together to find the talent your team needs to keep production running smoothly.

August 2019 Jolts Report

August 2019 JOLTS Report: Another 7.3 Million Job Openings

August 2019 Jolts Report

The Bureau of Labor Statistics’ (BLS) latest JOLTS Report showed the labor market stayed extremely consistent from May to June. The number of job openings and hires illustrated little change with job openings remaining at 7.3 million and hires at 5.7 million. With this many job openings and a record-breaking 2.3 percent quit rate, candidates are more confident and comfortable than ever to enter the job market, seeking a new opportunity for a better position. Check out our summary of the latest BLS’ latest JOLTS Report.

August 2019 JOLTS Report:

  • Job Openings: 7.3 million
  • Hires: 5.7 million
  • Total number of people who left their jobs: 5.5 million
    • Voluntarily:  3.4 million
    • Involuntarily:  1.7 million

The Labor Market Remains Healthy and Competitive

The labor market has experienced minimal change in the second half of 2019. This is illustrated by the BLS’ recent Jobs Report that reported 164,000 job gains in the month of July, exceeding economists’ projections of 150,000.

Additionally, the unemployment rate has been fairly consistent. The unemployment rate experienced subtle growth in the previous months rising from 3.6 to 3.7 percent in July. This slight change, in combination with the 3.4 million people that voluntarily left their jobs in July, implies that people are choosing to enter the labor market because of the opportunity for career advancement today’s labor market currently provides.

Furthermore, the job market held consistent with 5.7 million total separations. In July 2019, overall employment began rising, thus providing an opportunity for career growth. Moreover, as the job market continues to grow, wage trends follow directly behind as employers must keep up with the market’s talent. Over the past year, hourly wages have increased by 3.2 percent; hourly wages rose by $0.08 in the last month alone. Thus, making the labor market more attractive to passive and active job seekers.

How Can You Successfully Navigate Today’s Market?

The second half of 2019 has been very consistent, setting the tone for the market to remain healthy in the coming months. With a slight increase in unemployment and consistency in vacancies, now is the perfect time to reach out for help. Partner with a JSG Recruiter to find top talent that your company needs in today’s competitive job market.

July 2019 Jobs Report

July 2019 Jobs Report: 370,000 Re-Enter Workforce

July 2019 Jobs Report

The numbers are in, and the labor market continues to tighten. In July’s Jobs Report, we saw an increase of 164,000 jobs for the month, well above economists’ estimate of 150,000 jobs. Over the last six months, job gains are averaging 141,000 per month. The unemployment rate also held steady at 3.7 percent, a near 50-year low. As a result, the labor market is continuing to strengthen month over month.

Americans are reentering the workforce

Discouraged workers in July amounted to 368,000 people, down 144,000 from last year. In other words, fewer Americans are discouraged from entering the workforce as they feel there are more opportunities available. Additionally, the number of long-term unemployed Americans substantially declined by 248,000 workers last month, accounting for just 19.2 percent of the total unemployed population.

The labor force participation rate as a whole was 63 percent in July, the highest rate since March 2018. However, this figure for prime-age participation worker (ages 25 to 54) was an impressive 82 percent. Thus, illustrating the vast majority of those who are years away from retiring are finding job opportunities.

However, an essential metric from this month’s report was a sharp decline in the broadest measure of unemployment. This metric comprises of those too discouraged to work as well as part-time workers seeking full-time employment. This measure fell to 7 percent – the lowest level since late 2000. Thus, fewer Americans are feeling defeated by the labor market.

Higher wages, more spending, and more savings

Average hourly earnings rose by $0.08 last month, for a total of $27.98, following another $0.08 gain in June. Over the past year, average hourly earnings have increased by 3.2 percent.

At the end of July, The Federal Reserve cut interest rates a quarter of a percent. After raising the interest rates for the first reduction since December 2008, Americans are finally receiving a break from escalating borrowing costs. Furthermore, the central bank “raised the federal funds rate nine times in three years, the highest yielding rates are now paying over 2.5%.”

This rate reduction is excellent news for any American worker looking to borrow money for their next big purchase or stash away some money in savings. Since workers are making more money and receiving favorable interest rate cuts, they have more discretionary income. As a result, Americans are spending more money and boosting their local economies, which is creating more jobs.

Job gains by industry

Professional and technical services saw a 31,000 job increase in July, which brings their 12-month total to 300,000 job gains. Approximately 33 percent of this growth this month came from computer systems design.

Healthcare employment rose by 30,000 this month, which has brought the 12-month total to a staggering 405,000 jobs added. Ambulatory healthcare accounts for two-thirds of this growth.

Social assistance has seen an increase of 143,000 jobs over the last 12 months and 20,000 gains alone in July. And employment in the financial activities industry rose by 18,000 in July, with insurance carriers leading the way.

Manufacturing showed signs of growth in July with 16,000 jobs added, which is slightly off from 2018’s average job gains of 22,000 per month.

Employment in other major industries, including construction, wholesale trade, retail trade, transportation and warehousing, information, leisure and hospitality, and government, changed little over the month. Mining did, however, see a decline in 5,000 jobs last month but demonstrating little change over previous months.

Jobs Report revisions

May and June job gains were revised down from 72,000 jobs to 62,000 jobs (-10,000) and from 224,000 to 193,000 (-31,000), respectively. The combined revisions over the last two months were -41,000 jobs. However, over the last three months, job gains have averaged 140,000 per month, indicating that the labor market is still steadily growing.

How can you navigate such a tight market?

With fewer Americans actively searching for new opportunities, it’s becoming more challenging to locate and recruit qualified workers for your vacant positions. In fact, in July alone, 370,000 Americans reentered the workforce, according to financial analyst Larry Kudlow.

So, with fewer civilians on the sideline waiting for a new job, you need someone on your sideline to help you tap into the elusive group of passive candidates. At JSG, we understand the market trends and take pride in knowing the ins and outs of your industry. Partner with one of our recruiters today and let’s help you fill your critical roles in this hot job market.

JOLTS Report

July 2019 JOLTS Report: 7.3 Million Job Openings

JOLTS Report

The Bureau of Labor Statistics’ (BLS) latest JOLTS Report showed very little change in the labor market from April to May. The job openings rate edged down to 4.6 percent with a total of 7.3 million job openings. However, there were more than 1.6 million more job openings than people seeking work (5.7 million). Check out our summary of the BLS’ latest JOLTS Report.

July 2019 JOLTS Report:

  • Job Openings: 7.3 million
  • Hires: 5.7 million
  • Total number of people who left their jobs: 5.5 million
    • Voluntarily: 3.4 million
    • Involuntarily: 1.8 million

The labor market remained competitive through the first half of 2019

After hitting an all-time high in late 2018, job openings have been consistent throughout the first half of 2019. This is illustrated by the BLS’ recent Jobs Report that reported a gain of 224,000 jobs in the month of June, far surpassing economists’ projections. 59,000 more jobs, to be precise. Additionally, the unemployment rate has been consistent throughout the 2nd Quarter of the year. Last month, the unemployment rate ticked up from 3.6 to 3.7 percent. This slight shift from May to June paired with last month’s strong job gains illustrates that more candidates are re-entering the labor market.

The job market has been consistently growing over the last year. Throughout the past 12 months, total hires have amounted to 69.5 million and separations equal 66.9 million. Therefore, yielding a net employment gain of 2.6 million jobs. Moreover, wages continue to climb as the labor market gets more and more competitive. In June 2019, hourly wages increased six cents for a grand total of $27.90. Once again, this emphasizes that the labor market is holding strong as employers are having to increase wages to attract (and retain) talent.

Get the Right Help for Your Team

Throughout the first two quarters of 2019, the labor market was consistently competitive. With a slight decline in job openings this month, it may be time to reach out for help. Partner with a recruiter from Johnson Service Group and receive the help your team needs to navigate today’s tight labor market!

June 2019 Jobs Report

June 2019 Jobs Report

June 2019 Jobs Report

The month of June revealed another strong month in the labor market. Total nonfarm payroll employment increased by 224,000, which was 59,000 above economists’ predictions. This is the best job gain since the beginning of 2019. The unemployment rate ticked up slightly at 3.7 percent, with a total of 6 million unemployed in June. The small shift in the unemployment rate paired with the tremendous increase in employment for the month of June indicates that great candidates are re-entering the labor market.

In addition, wages rose by 6 cents at $27.09. Over the last year, average hourly earnings have increased by 3.1 percent. With wages experiencing a subtle rise, the average workweek remains unchanged at 34.4 hours per week. The stock market opened lower, resulting in a cut in interest rates.

Jobs Report By Industry:

Areas of increased job opportunities emerged in business and professional services (+51,000 jobs), health care (+35,000 jobs), transportation and warehousing (+24,000 jobs) and construction (+21,000 jobs).

Business and professional services are currently leading the job market. Compared to the average monthly gain in 2018 of 47,000, proving that June was a huge month for this industry – adding 51,000 jobs.

Employment within the healthcare industry increased by 35,000 in the month of June and 403,000 over the last year. Specific areas of growth include ambulatory healthcare services (+19,000 jobs) and hospitals (+11,000 jobs).

Last month, the transportation and warehousing industry experienced job growth of 24,000 with 7,000 in couriers and messengers and 3,000 air transportation.

Additionally, construction employment continues to grow with another increase of 12,000 jobs.

Revisions:

Total nonfarm payroll in April and May were 11,000 less than originally reported. Specifically, the total nonfarm payroll employment for April was revised from 224,000 to 216,000 and May was revised from 75,000 to 72,000 gain. Overall the net job gain averaged around 171,000 per month over the last three months.

May 2019 JOLTS Report

May 2019 JOLTS Reports

May 2019 JOLTS Report

The Bureau of Labor Statistics’ (BLS) latest JOLTS Report trampled expectations with the addition of 7.5 million job openings on the last day of business in March. Throughout the month of March, job openings increased by 346,000, marking a job openings rate of 4.7 percent. Here is a brief summary of the BLS’ latest JOLTS Report:

  • Job openings: 7.5 million
  • People hired: 5.7 million
  • Total number of people who left their jobs: 5.4 million
    • People who voluntarily quit their jobs: 3.4 million
    • People who involuntarily left their jobs: 1.7 million

The labor market is still roaring

Today’s market is still very much candidate-driven. The April 2019 Jobs Report was released last week and we saw job gains of 263,000 over the month. And over the last three months, job gains averaged an impressive 169,000, even after a more “disappointing” February. As of March, the number of job openings increased by 346,000 from the prior month and there are only 5.8 million unemployed Americans.

In other words, there are more vacant positions than available workers to fill them. Pair that with a wildly unexpected GDP of 3.2 percent for the first quarter of 2019 and the labor market is looking strong. As a result, many employers are still struggling to fill their vacant positions. Candidates have options (and lots of them). In fact, March was the 13th consecutive month of available jobs outnumbering the number of people out of work and actively searching for new opportunities.

Don’t be afraid to get some help

The labor market remains competitive. It can be challenging to find qualified candidates to fill your roles. However, if you team up with a recruiter, like one from JSG, we can help alleviate this problem for your organization. If you’re struggling to find the talent your team needs, reach out to us. Let’s work together to ensure you’re finding the candidates your organization has been searching for.

April 2019 Jobs Report

April 2019 Jobs Report

April 2019 Jobs Report

Total nonfarm payroll employment increased by 263,000 in April. The unemployment rate also declined from 3.8% to 3.6%, the lowest rate since December 1969. Through April, the total number of unemployed Americans decreased by 387,000 to a total of 5.8 million. The number of long-term unemployed, defined by those who are jobless for at least 27 weeks, also experienced a small decrease, hovering around 1.2 million, or 21.1% of the unemployed persons.

Additionally, wages saw an average increase of $0.06 to $27.77 after a 4-cent increase in March.

Revisions

Revisions from the March jobs report include an increase in nonfarm payroll employment for February 2019, from +33,000 to +56,000, and a decrease in figures reported for March 2019, from +196,000 to +189,000. These revisions show net employment gains of 16,000 more jobs than previously reported. This brings the average job gains over the last three months to an impressive 169,000.

By Industry

Throughout the month of April, employment in the professional and business services added 76,000 jobs in April, bringing the total over the last year to 535,000.

Last month, healthcare added 27,000 jobs to bring its total to over 404,000 jobs this year. Ambulatory services rose by 17,000 jobs, hospitals rose by 8,000 jobs and hospitals and community care facilities saw an increase of 7,000 jobs in April.

Construction added 33,000 jobs, to bring the total over the last year to 265,000 jobs added. Manufacturing saw little change, as it has the last three months, with a modest gain of 4,000 jobs. In the months prior to February 2019, manufacturing had seen an average of 22,000 jobs added per month. More specifically, the motor vehicles and parts industry saw an increase of 8,000 jobs in April.

Financial activities continued to add jobs in April, adding 12,000 jobs last month to bring its total jobs added over the last 12 months to 110,000. Social assistance added 26,000 jobs over last month, with all these gains in individual and family services.

Retail trade employment continued to lose jobs, with a loss of 12,000 jobs in April. General merchandise stores lost roughly 9,000 jobs; however, motor vehicle and parts dealers added 8,000 jobs.

There was little to no change in the mining, wholesale trade, transportation and warehousing, information, leisure and hospitality, and government industries in April.

March 2019 Jobs Report

March 2019 Jobs Report

March 2019 Jobs Report

In March 2019, the US saw a rebound from February 2019, a month that saw the creation of only 20,000 nonfarm payroll jobs. Total nonfarm payroll employment increased by 196,000 in March. Wages saw an average increase of $0.04 to $27.70 after a 10 cent increase in February.

Unemployment remained unchanged at 3.8% in March mirroring February and leaving roughly 6.2 million Americans presently unemployed. The number of long-term unemployed, defined by those who are jobless for at least 27 weeks, experienced essentially no change, continuing to hover around 1.3 million, or 21.1% of the unemployed.

Revisions

Revisions from the February jobs report include an increase in nonfarm payroll employment for January 2019, from 311,000 to 312,000, and February 2019, from 20,000 to 33,000. These revisions show employment gains of 14,000 more than previously reported and bring the average job gains over the last three months to 180,000.

By Industry

In March healthcare continued to flourish with an additional 49,000 jobs. This brings the industry’s total to over 398,000 jobs this year. Ambulatory services rose by 27,000 jobs, hospitals rose by 14,000 jobs, and nursing and residential care facilities saw an increase of 9,000 jobs in March.

Jobs in the professional and technical services industry increased by 34,000 last month, bringing the total over the last year to 311,000. Job growth continued to increase in food services with an increase of 27,000 jobs, on par with its monthly average over the last year.

Construction added 16,000 jobs, to bring the total on the year to 246,000 jobs added. Manufacturing saw a decrease of 6,000 jobs after an increase of only 1,000 in February. In the 12 months prior to this, manufacturing had added an average of 22,000 jobs per month. More specifically, the motor vehicles and parts industry saw a decrease of 6,000 jobs in March.

There was little to no change in the mining, wholesale trade, retail trade, transportation and warehousing, information, financial activities, and government industries in March.