The MRINetwork team are delighted to share their analysis of the Situational Report for June 2022, which was researched by the US Bureau of Labor Statistics (BLS). These reports are read by many Talent Partners clients and give a great summary of key trends and concerns in the marketplace.
Unemployment remained unchanged for the fourth month in a row, at 3.6 percent. Unemployment among the college-educated civilian workforce, the primary target of the MRINetwork’s recruitment efforts, remained at a near record low inching up 0.1 percent to of 2.1 percent.
Employed persons who reported some teleworking during the month continued to decline, now at 7.1 percent. This is well below the peak recorded during the Covid outbreak, indicating a gradual return to traditional at-work behaviors.
“In spite of growing economic headwinds, today’s BLS survey continues to indicate that top management, executive, professional and managerial talent remain in demand as smart firms look beyond the short-term business horizon to ensure they are focused on deploying the best talent in every high-value key decision position.
The best leaders and companies recognize opportunity and remain laser focused on building organizations. They are focused on building their culture, value, and purpose to create a work environment that embodies a true destination for talented performers. As importantly, our teams guide top candidates to conduct informed due diligence to ensure that they drill down during the interview process to go beyond merely confirming the firm’s reputation but to aligning that reputation with their career goals,” said Bert Miller, President and CEO of www.MRINetwork, one of the world’s leading search and recruitment organizations.
Jonathan Golub, Chief U.S. Equity Strategist at Credit Suisse in New York noted, “It’s very, very difficult to get a recession with so many job openings. In reality, a recession, more than anything else, is a collapse in the labor market, a spike in the unemployment rate, and right now, we’re not seeing anything that looks like that at all.”
Adding context to today’s BLS report, Aditya Bhave, Senior U.S. and Global Economist at Bank of America observed, “Overall, we’re looking at a very solid jobs report. I think there’s been some concerns about a slowdown in consumer spending and the housing sector, but that’s not showing up yet in the labor market.”
Total nonfarm payroll employment gains were in line with the average monthly increases over the prior 3 months (+383,000). In June, notable job growth occurred in professional and business services, leisure and hospitality, and healthcare.
Employment in professional and business services continued to grow, with an increase of 74,000 in June. Within the industry, job growth occurred in management of companies and enterprises (+12,000), computer systems design and related services (+10,000), and office administrative services (+8,000).
In June, leisure and hospitality added 67,000 jobs, as growth continued in food services and drinking places (+41,000).
Employment in health care rose by 57,000 in June, including gains in ambulatory health care services (+28,000), hospitals (+21,000), and nursing and residential care facilities (+8,000).
In June, transportation and warehousing added 36,000 jobs. Employment rose in warehousing and storage (+18,000) and air transportation (+8,000).
Employment in manufacturing increased by 29,000 in June and has returned to its February 2020 level.
Information added 25,000 jobs in June and is now 105,000 higher than in the pre-pandemic period.
Employment showed little change over the month in other major industries, including construction, retail trade, financial activities, and other services.
“As we enter what looks to be a new business cycle, challenge yourself as a business leader. Are you looking for growth despite the obstacles presented by today’s market? Proactive leaders are prioritizing investments in hiring and retaining talent, they are investing in digital transformation initiatives, and they hold a belief in tomorrow which demands focused determination today,” noted Miller, CEO of MRINetwork. “Top talent also needs to sharpen their due diligence skills to go beyond confirming a role is a good cultural fit. You need to answer the question, is this the best destination for this next phase of my career?”