Economists were left scratching their heads as both jobs growth and unemployment shot up in the latest Jobs Report from the Bureau of Labor Statistics.
According to the report 339,000 new jobs were added in May versus expectations of 190,000. March and April jobs reports were also revised significantly upwards by 52,000 and 41,000 respectively.
Wage growth slowed to 4.3% year-over-year, and unemployment actually jumped by 0.3% to 3.7%.
What this shows is that hiring has not slowed down. Workers are still looking for new jobs, and because workers are in short supply, employers are always hiring. How tight is the labor market? The prime-age employment-to-population ratio is now at 80.8% in May. That means the share of adults with a job is the highest since 2002.
“There’s just not enough people to go around,” said RedBalloon CEO Andrew Crapuchettes, who helped found the modern labor market data and analytics industry over twenty years ago. “The economy wants to grow, but companies need people to achieve that growth. The tight labor market has forced companies into a constant state of hiring – through good times and bad.”
Employers are competing in a competitive market, but compensation is not the only thing workers are looking for.
“Companies have to pursue new strategies to adapt in this highly competitive market,” continued Crapuchettes. “Establishing and promoting an ‘employer brand’ is an essential tool in creating hiring momentum and retaining current employees against an onslaught of competitive offers. So too is developing strong workplace culture where people feel they are thriving and growing. Otherwise, there are just too many other options out there for job seekers to pursue.”
Glassdoor did a study of worker satisfaction, and compensation was the least important factor in finding satisfying work. The most important factors in employee satisfaction were culture and values, senior leadership, and career opportunities.
As America’s number-one non-woke job board, RedBalloon helps companies find reliable job seekers who have a strong work ethic and a drive to succeed. RedBalloon matches these job seekers with good companies who have competitive and fulfilling workplace cultures and where workers feel their careers can advance.
RedBalloon also helps their customers establish and grow their “employer brand” that helps them attract higher-quality applicants. That includes creating and maintaining an attractive workplace culture.
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