Current Labor Indicators
- Total Unemployment: 7.6%
- College Educated Unemployment: 3.8%
- Total Job Loss/Gain: +175,000
- Temporary Penetration Rate: 1.9%
Overall, the job gains in the May Bureau of Labor Statistics report came in above consensus expectations with 175,000 jobs added. Employment in professional and business services led with 57,000 jobs added in May. This month’s employment report continued the upward trend in Kforce’s sector with 26,000 jobs added in temporary help services and 6,000 jobs added in computer systems design and related services.
It’s also important to note that the temporary penetration rate (the percentage of temporary workers as a percentage of the total workforce) increased to nearly 1.98 percent - the highest so far this cycle. While this figure still remains below its all-time high (2.03 percent in April 2000), the current track shows it could pass the current rate in the not so distant future.
In highly-skilled areas such as technology and finance and accounting, unemployment rates remain well below the “headline” number. As a result, employers may find it harder to identify, attract and particularly retain in demand talent in these areas. These challenges apply to both temporary and permanent hires.
Employers winning “The War For Talent” understand the importance of adjusting their hiring strategies in order to maintain a competitive advantage. With in-demand talent likely receiving multiple offers, employers should understand that pricing and process must be aligned to succeed in this competitive landscape.
The Temporary Trend Continues
SOURCE: Staffing Industry Analysts
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