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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.

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 Jobs Report

May 2019 Jobs Report

May 2019 Jobs Report

In the month of May total nonfarm payroll employment increased by 75,000, well below economists’ expectations of 175,000 for the month. However, The unemployment rate remained at 3.6 percent, a near 50-year low and May 2019 is the 104th-consecutive month of job gains. Additionally, it was the 15th straight month of the unemployment rate at or below 4 percent. The labor force participation rate also remained unchanged at 62.8 percent, signifying that there are still plenty of jobs available for workers.

Additionally, the number of unemployed Americans stayed relatively constant in May at 5.9 million. And the number of long-term unemployed, defined by those who are jobless for at least 27 weeks, also experienced a small decrease, hovering around 1.3 million, or 22.4 percent of the unemployed persons.

Wages also saw a bump of $0.06 to $27.83 in the month of May.

Jobs Report Revisions

Total nonfarm payroll employment revisions are down over the last two months. In April, job gains are down from 263,000 to 224,000. Additionally, March job gains were revised down from 189,000 to 153,000. With these revisions, job gains over the last two months declined 75,000 jobs than previously reported. However, over the last three months, job gains averaged an impressive 151,000 jobs. And throughout 2019, monthly job gains have averaged out to be 164,000.

By Industry

Employment in Professional and Business Services continued to increase with the addition of 33,000 jobs in the month of May. And over the last 12 months, the industry has gained 498,000 jobs.

Last month, Healthcare generated 16,000 jobs, reaching a 12-month total of 391,000 jobs over the last year.

The Construction industry changed little with a total of 4,000 job gains in May. Over the past 12 months, Construction has generated 215,000 jobs.

There was little to no change in other major industries, including mining, manufacturing, wholesale trade, retail trade, transportation and warehousing, information, financial activities, leisure and hospitality, and government.

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.

March JOLTS Report

JOLTS Report: 7.6 Million Jobs Openings

March JOLTS Report

In January of 2019, we saw 7.6 million job openings, smashing December 2018’s record out of the park by nearly 300,000 jobs! Here is a brief summary of the latest Job Openings and Labor Turnover Survey (JOLTS) from the Bureau of Labor Statistics:

  • Job openings: 7.6 million
  • People hired: 5.8 million
  • Total number of people who left their jobs: 5.6 million
    • People who voluntarily quit their jobs: 3.5 million
    • People who involuntarily left their jobs: 1.7 million
    • People who left their jobs for retirement or their reasons: 336,000

The labor market is still on fire

Regardless of the “disappointing” Jobs Report released earlier this month, the labor market remains competitive. In today’s candidate-driven market, there is less than one available candidate per open job in the country. Like last month, 3.5 million Americans voluntarily left their jobs and sought out greener pastures. And over the last three months, job gains have averaged 186,000 per month.

Simply put, the market is hot! There’s no doubt about it. If your organization’s hiring process is not efficient, you may struggle to fill your critical positions. But don’t panic! Just because the market is crazy, it doesn’t mean your search for candidates has to be! Partner with a recruiter to help you find the talent your team needs and continue on with your day. You have enough to worry about, so why not let a professional take some of that stress off of your shoulders?

February 2019 Jobs Report

February 2019 Jobs Report

February 2019 Jobs Report

In February 2019, the US saw its weakest hiring rates in over a year with a 20,000 increase in non-farm payrolls, after a gain of 311,000 the month prior. Wages bested projections and saw an average increase of 11 cents to $27.66 after a 2-cent increase in January. Unemployment also continued to decline, dropping from 4% in January to 3.8% in February, 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. The long-term unemployed continued to hover around 1.3 million, or 20.4% of the total unemployed.

Revisions

Revisions from the January Jobs Report include an increase in nonfarm payroll employment for December 2018, from 222,000 to 227,000, and January 2019, from 304,000 to 311,000. These revisions show employment gains of 12,000 more than previously reported. Moreover, this revision brings the average job gains over the last three months to 186,000.

By Industry

In February health care added 21,000 jobs to bring its total to over 361,000 jobs this year. Ambulatory services rose by 16,000 jobs this month alone.

Wholesale trade employment also continued to trend positively, rising by 11,000 jobs to bring its yearly total to 95,000.  Additionally, manufacturing employment saw its own jump of 4,000 jobs last month.

Employment in construction saw a decrease in jobs, declining by 31,000 in February, offsetting a January increase of 53,000 jobs. Heavy and Civil engineering was particularly affected, experiencing a decrease of 13,000. Overall, construction has still added 223,000 jobs on the year.

Other industries like leisure and hospitality, mining, retail trade, transportation and warehousing, information, financial activities, and government saw little or no change over the course of the month.

Reasoning

Despite the increase in wages, the dip in payroll may suggest that employers are struggling to find qualified workers. Other plausible causes include the frigid weather our country experienced as a whole or the end-part of the government shut down. A decrease in construction jobs would seem to support this notion.

January 2019 Jobs Report

January 2019 Jobs Report

January 2019 Jobs Report

For the second month in a row, the unemployment rate slightly rose to 4.0 percent. in January, the number of unemployed persons also edged up to a total of 6.5 million people. These numbers were slightly impacted by the 35-day partial government shutdown. However, despite these downward trends, nonfarm payroll employment increased by a staggering 304,000 jobs in January, nearly doubling economists’ expectations.

This unexpected boom in job creation is drastically greater than the monthly average of 223,000 job gains in 2018.

Revised Jobs for November and December

January 2019 marks a significant milestone: the 100th straight month of job gains. Moreover, December job gains were revised down from 312,000 jobs to 222,000. And in November, employment was revised up from 176,000 jobs to 196,000. With the following revisions, job gains combined in November and December were 70,000 less than originally reported. Despite this adjustment, the average growth in jobs over the last three months is now 241,000 jobs.

Long-term unemployment

The number of long-term unemployed changed little over the month. Long-term unemployed persons were 1.3 million people and accounted for 19.3 percent of the total number of unemployed Americans. Additionally, the labor force participation rate was relatively unchanged at 63.2 percent, marking a five-year high.

Average hourly earnings

Average hourly earnings bumped up $0.03 in January for an average of $27.56 per hour. Over the year, average hourly earnings increased by 3.2 percent for a total of $0.85.

Employment by industry

In January, the Leisure and Hospitality industry led the way with an impressive 74,000 job gains. The majority of this increase is from gains in food services and drinking places. Moreover, the industry added a total of 410,000 jobs over the year.

Additionally, employment rose in the Construction industry by 52,000 jobs. 24,000 of these jobs is thanks to an increase in specialty trade contractors. Construction has added 338,000 jobs over the past 12 months.

Healthcare once again increased their production of job gains. 42,000 jobs were added in January, with 22,000 of which were from ambulatory health care services. Healthcare has added 368,000 jobs over the past year.

Transportation and Warehousing rose by 27,000 jobs, illustrating little change from December. Although merchandising stores lost 12,000 jobs in January, retail trade has managed to gain 26,000 jobs over the year.

Professional Services added an impressive 30,000 jobs and Manufacturing continued to trend upwards with an increase of 13,000. Mining also saw an increase of 7,000 jobs in January. Over the year, Mining has added 64,000 jobs, almost all of which are from activities for mining.

Wholesale Trade, Information, and Financial Activities saw little change over the month of January.