Strong Job Growth Seen in June Unemployment Ticks Up Slightly
JOB GROWTH: June recorded a good bump in new employment, adding 222,000 jobs, following an upwardly revised increase of 152,000 in May.
TOP INDUSTRIES: In June, healthcare, social assistance, financial activities and mining saw good increases. Positive momentum also continued in professional and business services and the hospitality sector.
UNEMPLOYMENT: The unemployment rate remained low, moving up marginally from 4.3 percent in May to 4.4 percent in June, as more people moved off the sidelines to look for work. While higher rates of joblessness continue for selected work groups, including teenagers (13.3 percent) and minorities (11.9 percent), unemployment rates improved slightly last month for both men and women.
WAGES: Paychecks in June averaged an increase of four cents per hour, sustaining an annual average hourly increase of 2.5 percent.
WORK WEEK: The average work week got a little bit longer, increasing from 34.4 to 34.5 hours.
TEMPORARY JOB TRENDS: Temporary job growth accelerated again in June with the addition of 13,400 new jobs. For the third consecutive month, temporary job penetration exceeded three million jobs.
WHAT DOES IT ALL MEAN? June gave us another month of strong job growth that was higher than anticipated by analysts. Unemployment remained low as more people entered the job market. At the same time, wages are stagnant, especially at the lower economic rungs, and employers continue to struggle in filling jobs. Although the overall outlook remains positive, employers looking to grow need to understand what attracts job candidates, what motivates employees and what changes they need to make to meet those desires.
Sources: U.S. Bureau of Labor Statistics (BLS), Steinberg Employment Research, Fox News, InvestorPlace, CNBC, The Wall Street Journal, The New York Times, Business Insider, CNN Money