As the month of May comes to a close it becomes clear that labor demand is already leveling off for the season. Employers posted only 0.9% more job openings in May as compared to April. With the onset of the summer the job market is likely to decline before getting a second possible chance for growth in the fall.
What we are seeing is a repeat of 2011 where a very similar pattern in labor demand emerged. The lingering economic issues in Europe as well as the aftermath of the domestic recession still hamper growth. In addition the upcoming debate about deficit reductions and the debt ceiling is likely to have a dampening effect on employer confidence.
Labor demand peaked at the beginning of May and began a decline with the third week of the month. While last year the number of posted positions stayed above 2.5 million during the summer, this year the job market may be weaker.
Note: A weekly update on the United States Job Openings (Online Postings) is available on this blog every Tuesday.
Legend for week-over-week change of labor demand:
|slow||0.1% – 0.5%|
|moderate||0.6% – 1.5%|
Methodology: SkillPROOF surveys the inventories of job openings at direct employers. Job openings are counted and verified every 24 hours. All data sources have been verified for timely removal of filled or closed positions. No data from job boards or search firms is included.
For this report SkillPROOF estimates the counts of job openings. Estimates are calculated directly from SkillPROOF’s actual daily counts of job openings. As part of its calculations, SkillPROOF uses data and findings from reports of the Bureau of Labor Statistics (BLS) (http://www.bls.gov).