July’s job report saw a gain of 528,000 nonfarm jobs, according to the U.S. Bureau of Labor Statistics’ monthly employment report. Employment gains happened in leisure and hospitality, professional and business services, and healthcare. Both total nonfarm employment and the unemployment rate have returned to their February 2020 pre-pandemic levels.

July’s unemployment rate was 3.6% down slightly from 3.6% in June. The civilian labor force participation rate is at 62.1%, little changed from 62.2% in June.

The report found that average hourly earnings for employees on private, nonfarm payrolls was $32.27. Over the past 12 months, average hourly earnings have increased by 5.2%.

 

 

The Fed is happy to see strong payroll gains and moderating wage growth in the June jobs report. Payroll gains of 372,000 and the unemployment rate remaining at 3.6% is simply a great jobs report. But the cherry on top is that nominal earnings are leveling off, easing fears of a wage-price spiral as inflation is at a 40-year high.

Here are some additional takeaways from the June jobs report:

Recouping COVID job losses within “spitting distance”
Every private industry gained jobs in June
Shift from goods to services may be materializing in jobs
Job seeker participation took a step back
No signs of a wage-price spiral as wage growth continues to cool

What does this mean for recruiters? 

There is no sign of a recession in the June jobs report. Strong hiring trends conflict with other indicators (like the stock market and GDP) that suggest elevated recession risks. The intensity of competition for workers remains strong, even as interest rate hikes continue at a brisk pace. The continued cooling of wage growth is a favorable sign that the Fed’s goal of lowering inflation without triggering a recession is possible. 

Bottom line: Aside from the decline in labor force participation – which may just be noise – this is a very strong jobs report. Hiring trends are very strong in the United States, even during a period where the Fed is aggressively hiking interest rates.

Read the full article at https://bit.ly/3B4P6SP

Source: Recruitonomics

US manufacturing activity continued growing in June, but its rate of growth slowed, according to the Institute for Supply Management’s Manufacturing PMI. It fell to a reading of 53.0% in June from 56.1% in May. It’s the lowest Manufacturing PMI reading since June 2020.

“The US manufacturing sector continues to be powered — though less so in June — by demand while held back by supply chain constraints,” said Timothy Fiore, chair of the ISM’s Manufacturing Business Survey Committee.

Manufacturing PMI readings above 50% indicate the manufacturing economy is expanding.

Fiore also said manufacturers made progress on addressing moderate-term labor shortages. And firms taking part in the report’s survey noted lower rates of quits compared to May.

Still, the employment index fell to a reading of 47.3% in June from 49.6% in May, both readings indicate contraction.

“The [employment index] contracted for a second straight month after an eight-month period of expansion,” Fiore said. “This is the lowest reading since August 2020, when the index registered 47.1%.”

However, he noted 14% of survey respondents noted greater hiring ease in June compared to 7% in May. In addition, a majority of panelists say their companies are continuing to hire. 

Data for the Manufacturing PMI report is taken from a survey of manufacturing supply executives.

Source: Staffing Industry Analysts

June’s job report saw a gain of 372,000 nonfarm jobs, according to the U.S. Bureau of Labor Statistics’ monthly employment report. Employment gains happened in leisure and hospitality, professional and business services, and healthcare.

June’s unemployment rate remained at 3.6%, unchanged from May. The civilian labor force participation rate is at 62.2%, little changed from 62.3% in May.

The report found that average hourly earnings for employees on private, nonfarm payrolls was $32.08. Over the past 12 months, average hourly earnings have increased by 5.1%.

 

 

Experts at McKinsey Global Institute have said that modern data-driven organizations are 23 times more likely to attract new customers than those who are getting by without doing so. How can you turn all those mammoth amounts of rough data into actionable insights and create a strong basis for decision-making? An equally good data-driven company culture could be the way to go.

Business leaders and executives have exploding quantities of information nearly at their fingertips that can drive future-ready data-based innovation—better customer satisfaction, refined action plans and streamlined operations. Yet, with the more than two-thirds of amassed data that remains unused each year, such ambitious targets are just elusive for most companies, meaning there is no such thing as a lack of data. Instead, there is a need to create a company culture that encourages new initiatives, practices and habits to root decisions in data across the company.

Benefits Of Data-Driven Decision-Making For Your Business

• Sustainable Improvement: It gives a spur to continuous improvements across the organizations as it becomes much easier to implement best practices and courses or actions with controllable outcomes based on past results.

• Faster Decisions: This optimizes the average time spent making up objective solutions and highly accurate expectations. Besides, when used right, data can make experiments less risky, in line with giving better chances for earlier success.

• Greater Transparency: Data-driven decision-making contributes to faster and, more importantly, fully-visible and trackable approval processes by team members, in turn supporting high levels of compliance and accountability.

• Unabridged Market Research: Data helps generate actionable market insight based on real facts and proven statistics. By eliminating guesswork and uncertainty, it becomes a good companion to comprehensive market research and winning business initiatives that could be unavailable so far.

• Optimized Spend: The money-saving potential of data-driven decisions should never be underestimated, as it can quickly elevate operational efficiency, in line with providing a solid background for cost-effective strategies and sustaining the best of them in the long haul.

• Organizational Consistency: This helps every member deeply understand in what way it’s better to root data in decisions, highlighting best practices and actionable scenarios that could be unified and popularized across different areas of operation and departments. Eventually, getting in the habit of making decisions in a data-led way can greatly improve the consistency of service and engagement in the company.

The core obstacle to making the business decisions truly data-driven is not technical. The issues are cultural by nature, as there is no problem with bringing data and technology into a process of decision-making when we have to. Making this course normal, running nearly on autopilot, for employees—it’s a shift in mindset. And it’s a challenge that every modern company is facing

Read the full article at https://bit.ly/3Ng9W40

Source: Forbes

Prices are rising – fast. After nearly three decades of stable prices, the US economy is experiencing a surge of inflation. Consumers feel the pain acutely at the gas pump, grocery store, and elsewhere. But inflation isn’t just shaping individuals’ buying habits. Businesses – and, specifically, employers looking to hire – have to reckon with this high-inflation environment. Recruiters face two new challenges: rising wage expectations of job seekers and online job advertising costs that have spiked after declining for a decade.

Recruiting Challenge #1: Job Seekers Want Higher Pay

An uptick in work pay coincided with this inflation surge. The labor market is extremely “tight” – with job openings at near record highs and jobs being added at a rapid pace – and so employers are raising wages to attract job seekers. Average hourly earnings were up over 11% for all employees in March 2022 compared to February 2020, just when the pandemic recession began. Wages are even higher for “rank-and-file” workers (production and nonsupervisory employees): up 12.6% over the period.

Recruiting Challenge #2: Online Job Advertising Rose After Declining for a Decade

It’s not just consumers who are facing higher costs but businesses too. We see this in the data from the Producer Price Index (PPI) that reflects the input costs that businesses face. In March, prices were up 11.2% year-over-year, “the largest increase since 12-month data were first calculated in November 2010,” according to the BLS release.

A subcomponent of the PPI tracks what businesses pay for online advertising – whether it be on Google, Facebook, or job sites like Indeed. This metric for online advertising had been falling for the better part of a decade but 2021 marked a reversal of this trend. Costs began to surge in the spring of 2021 in a way they never had before. In June, online ad prices were up 26.2% from a year before.

With high inflation, employers looking to hire need to adjust on these two fronts by benchmarking pay more regularly, at least quarterly if not monthly, and adjusting recruitment budget forecasts to reflect higher costs for job ads.

Read the full article at https://bit.ly/3NSwUz9

Source: Recruitonomics

May’s job report saw a gain of 390,000 nonfarm jobs, according to the U.S. Bureau of Labor Statistics’ monthly employment report. Employment gains happened in leisure and hospitality, professional and business services, and in transportation and warehousing.

May’s unemployment rate remained at 3.6%, unchanged from April. The civilian labor force participation rate is at 62.3%, little changed from 62.2% in April.

The report found that average hourly earnings for employees on private, nonfarm payrolls was $31.95. Over the past 12 months, average hourly earnings have increased by 5.2%.

 

 

April’s job report saw a gain of 428,000 nonfarm jobs, according to the U.S. Bureau of Labor Statistics’ monthly employment report. Employment gains happened in leisure and hospitality, manufacturing, transportation and warehousing.

April’s unemployment rate remained at 3.6%, unchanged from March. The civilian labor force participation rate is at 62.2%, little changed from 62.4% in March.

The report found that average hourly earnings for employees on private, nonfarm payrolls was $31.85. Over the past 12 months, average hourly earnings have increased by 5.5%.

 

 

March’s job report saw a gain of 431,000 nonfarm jobs, according to the U.S. Bureau of Labor Statistics’ monthly employment report. Employment gains happened in leisure and hospitality, professional and business services, retail trade and manufacturing. 

March’s unemployment rate decreased to 3.6%, down from 3.8% in February. The civilian labor force participation rate is at 62.4%, little changed from 62.3% in February. 

The report found that average hourly earnings for employees on private, nonfarm payrolls was $31.73. Over the past 12 months, average hourly earnings have increased by 5.6%.

 

 

More than half of US workers, 53%, are open to leaving their employers, according to a survey by WTW (Willis Towers Watson). It also found that 44% said they actively looked for a new job during the fourth quarter of 2021 or were planning to seek new employment in the first quarter of this year.

The survey included 9,658 US employees and took place between December 2021 and January 2022.

“The findings suggest that employees continue to job hunt at the same pace as last year and that the labor exodus is not yet over,” said Steve Nyce, senior economist, WTW.

“Employers remain under pressure as many workers seek enhanced rewards, more job security and different experiences,” Nyce said. “In many cases, employers are responding by boosting pay, enhancing health and retirement benefits, and offering more flexibility to not only find workers but also keep the ones they have from looking elsewhere.”

More than half of respondents, 56%, cited pay as a top reason they would look for a new job, according to WTW. The survey found 41% would leave for a 5% increase, and one in five employees would take a new job for the same pay.

Other important factors cited by employees as reasons for accepting a position elsewhere include health benefits, 39%; job security, 33%; and flexible work arrangements, 31%.

The survey also found that 58% of employees want to work remotely either most of the time or in a hybrid work arrangement.

Source: Staffing Industry Analysts 

A survey found that 60% of light industrial businesses struggled to keep up with increased demand in 2021, and staff retention was a big hurdle amid the ongoing labor shortage. The survey was released by Instawork, a flexible work app for local and hourly professionals, in partnership with Logistics Management magazine.

Thirty-one percent of survey respondents reported having to forego business in 2021 due to lack of workers and 39% said they are focused on hiring new staff, while 72% increased pay as part of staff retention efforts. The average raise was $2.54 per hour for most light industrial hourly full-time staff.

Looking ahead, fewer than 50% of surveyed companies are investing in flexible scheduling and career development, despite those being top requests from workers.

Additionally, 18% of respondents are currently leveraging technology to address their ongoing staffing needs, which provides increased opportunities to improve operational efficiencies and attract and retain top talent.

“We regularly hear from the hourly workforce about the critical need for work flexibility, higher pay and opportunities for career growth,” said Kira Caban, head of strategic communications at Instawork. “Addressing these needs will be critical for the industry to attract and retain the staffing necessary to stay on top of record levels of customer demand.”

Source: Staffing Industry Analysts 

February’s job report saw a gain of 678,000 nonfarm jobs, according to the U.S. Bureau of Labor Statistics’ monthly employment report. Employment gains happened in leisure and hospitality, professional and business services, healthcare and construction. 

February’s unemployment rate decreased to 3.8%, down from 4.0% in January. The civilian labor force participation rate is at 62.3%, little changed from 62.2% in January. 

The report found that average hourly earnings for employees on private, nonfarm payrolls was $31.58. Over the past 12 months, average hourly earnings have increased by 5.1%.

 

 

January’s job report saw a gain of 467,000 nonfarm jobs, according to the U.S. Bureau of Labor Statistics’ monthly employment report. Employment gains happened in leisure and hospitality, professional and business services, retail trade, and in transportation and warehousing.

January’s unemployment rate increased to 4.0%, up from 3.9% in December. The civilian labor force participation rate is at 62.2%.

The report found that average hourly earnings for employees on private, nonfarm payrolls rose by 23 cents to $31.63. Over the past 12 months, average hourly earnings have increased by 5.7%.

 

 

US employers are boosting their salary increase projections for this year, according to a survey taken of 1,004 US companies in October and November by WTW, the new brand for Willis Towers Watson.

It found that nearly a third of US companies increased their salary projections from earlier in the year. Companies are now budgeting an overall average salary increase of 3.4% this year compared with the average 3.0% increase they had budgeted in June.

“There’s a great reprioritization of work, rewards and careers underway, and it’s putting significant pressure on compensation programs for many employers,” said Catherine Hartmann, North America rewards practice leader at WTW.

This year’s increase was already above the average pay increase of 2.8% in 2021.

Employees in these five industries are expected to see the largest salary increases in 2022 compared with their actual increases in 2021:

• Retail and wholesale trade: 2.8% to 3.6%
• Finance: 2.7% to 3.5%
• Life and health insurance: 2.7% to 3.5%
• Energy: 2.6% to 3.4%
• Industrial manufacturing: 2.6% to 3.4%

The survey found that 74% cited the tight labor markets for their increased salary budgets while only 34% cited stronger financial results and 31% cited inflation or the rising cost of suppliers.

Source: Staffing Industry Analysts

December’s job report saw a gain of 199,000 nonfarm jobs, according to the U.S. Bureau of Labor Statistics’ monthly employment report. Employment gains happened in leisure and hospitality, in professional and business services,
in manufacturing, in construction, and in transportation and warehousing.

December’s unemployment rate declined to 3.9%, down from 4.2% in November. The civilian labor force participation is 61.9%, unchanged from November, but remains 1.5% lower than in February of 2020. 

The report found that average hourly earnings for employees on private, nonfarm payrolls rose by 19 cents to $31.31. Over the past 12 months, average hourly earnings have increased by 4.7%.

 

 

A job search or career change is on the horizon for many US adults, according to the results of an American Staffing Association Workforce Monitor survey.

Forty-one percent of those surveyed said they are likely to look for a new job within the next year and 35% are likely to change careers. And 63% say pay rate/salary would be among the most important factors if they were to look for a change.

“In the midst of the Great Resignation, employed individuals as well as active job seekers are looking at new opportunities for higher pay and more flexibility,” said ASA President and CEO Richard Wahlquist. “If employers want to effectively compete in the war for talent, they’re going to have ensure their workers receive competitive compensation and that workplaces embrace flexible work schedules wherever feasible.”

The survey also asked what key factors were most important to them if they were looking for a new job within the next year. The top five results:
• Pay rate/salary: 63%
• Flexible hours: 37%
• Benefits/perks: 36%
• Option to work remotely: 25%
• Job duties: 22% 

Source: Staffing Industry Analysts

The US manufacturing sector continued to expand in October, although hiring difficulties show no signs of easing, according to the Institute of Supply Management’s October 2021 “Manufacturing ISM Report on Business.” The report is based on a survey of manufacturing supply executives.

“Meeting demand remains a challenge, due to hiring difficulties and a clear cycle of labor turnover: As workers opt for more attractive job opportunities, panelists’ companies and their suppliers struggle to maintain employment levels,” said Timothy Fiore, chair of the Institute for Supply Management’s Manufacturing Business Survey Committee.

An overwhelming majority of panelists indicate their companies are hiring or attempting to hire; 90% of employment index comments were about seeking additional staffing. Twenty-eight percent of those respondents expressed difficulty in filling positions.

Overall, the US manufacturing sector continued to grow in October. The Manufacturing PMI announced in the report was at a reading of 60.8% in October — down from a reading of 61.1% in September but still indicative of growth. Readings over 50% indicate manufacturing economy is expanding.

The Manufacturing PMI is a composite index based on the diffusion indexes of five of the indexes with equal weights: new orders, production, employment, supplier deliveries and inventories. Of those, only inventories is not seasonally adjusted.

Source: Staffing Industry Analysts

SHRM (The Society for Human Resource Management) shared findings from a new survey, 2021 SHRM Surviving the Great Resignation, that highlights the needs and rationale of workers – loyalists – who chose to stay with their current employer amid
a wave of job resignations that is sweeping the country, leaving no industry, position
or experience level unaffected.

“Employees are leaving their jobs to pursue new opportunities in record numbers,
making hiring and retaining talent a significant challenge for employers across
the country,” said Johnny C. Taylor, Jr., SHRM-SCP, SHRM’s President and Chief
Executive Officer.

While the great resignation is showing no signs of slowing down, there are plenty
of loyalists who decided to remain in their role. Following their former colleagues’
exits, more than half (52%) of those who chose to stay say that they’ve had to take
on more work and responsibilities. These workers are now left to reconsider their
options as 30% report struggling to get necessary work done, 27% feel less loyalty
to their organization, 28% feel more lonely or isolated, and more than half (55%) now
wonder if their pay is high enough.

Business leaders are taking steps to combat the great resignation by offering more
competitive benefits for both new recruits and remaining employees. More than half
of organizations (58%) report that beyond normal yearly increases, they are offering
higher starting salaries and wages than last year. Among HR professionals who said
their organization has seen higher or much higher turnover in the past six months,
42% said their organization has implemented new or additional remote work or
flexibility options to reduce turnover, 32% have increased employee referral bonuses
and 28% have introduced new or additional merit increases.

Read the full article at https://bit.ly/30EFVIK

Source: SHRM

A Gartner Inc. survey found that 91% of HR leaders are concerned about employee turnover in the coming months and another Gartner survey found 50% of employees hired over the past 12 months have received at least two additional job offers.

The former survey included 572 HR leaders and took place in July. The candidate survey included 1,609 job seekers and took place between May and June.

“As the economy continues to recover from the disruption caused by the COVID-19 pandemic, organizations are facing a very different — and extremely competitive — job market than years past,” said Jamie Kohn, research director in the Gartner HR practice. “While many are experiencing a record number of open roles, companies are also trying to mitigate pent-up employee turnover.”

Gartner recommends that for employers to stay competitive, they should consider different forms of flexibility such as work hours, location and length of workweek. HR leaders must also help managers conceptualize the potential career paths of their direct reports generally, not just specific next steps. HR leaders must also identify long-term talent gaps at the organizational level and partner with business leaders to acquire the skills.

“Organizations often overlook the potential within their own organization,” said Kohn. “Improving internal mobility can help employers find employees with adjacent skills; boost diversity, equity and inclusion; and tap into nontraditional talent pools that are outside customary recruiting hot spots.”

Source: Staffing Industry Analysts

Job satisfaction in the skilled trades remains high, with 83% of tradespeople satisfied in
their choice of work, according to B2C platform Angi’s second annual Skilled Trades in
America Report. However, skilled trades still face a worsening labor shortage, with more than three-quarters of tradespeople, 77%, viewing it as a problem that has worsened over the last year.

“On one side, you have disengaged workers leaving their jobs and on the other you have skilled home tradespeople saying they are happy because they find meaning and value in their work, making it a unique and opportune time to attract new talent to these careers, while also improving employee engagement across the country,” said Oisin Hanrahan, CEO of Angi.

Since the onset of the COVID-19 pandemic, demand for home services has steadily increased and the skilled trades have been experiencing a chronic labor shortage. And Angi’s report found the perception among tradespeople is that the shortage continues
to worsen. Sixty-eight percent of tradespeople have struggled to hire skilled workers
and more than one-third, 35%, are slightly or extremely understaffed. Over half of
tradespeople, 52%, say a lack of available workers is stunting their growth and 68% say
they could grow their business if they could find more available workers.
In addition, 27% of skilled trade workers are within 10 years of the social security
retirement age of 62.

Diversifying recruitment efforts as a key part of the solution to overcoming the labor
shortage, according to the report.

The report was compiled based on Angi analysis of American Community Survey Public
Use Microdata and two surveys of 2,400 skilled tradespeople conducted between Aug. 4
and Aug.17. Each survey had 1,200 participants.

Source: Staffing Industry Analysts