September 2, 2022
The job market we see today can’t keep defying gravity and is falling back to Earth.Senior economist, Daniel Zhao, Glassdoor (a job search site), on the latest jobs report showing a slower pace of hiring.
Why It Matters: The August jobs report was slightly better than economist expected but in general, showed slower job creation than previous months.
- The report shows 315,000 jobs created; the unemployment rate rose slightly to 3.7% from 3.5%. The unemployment rate rose as more people entered the workforce. This can be viewed as a positive sign as more Americans move to actively look for jobs — you have to be actively looking for a job to be counted as part of the workforce.
- Where is the job growth? The leader last month was professional and business services (computer systems design, consulting services, architecture/engineering).
- Previous jobs reports were also revised to show slower job growth than initially thought.
- In August, the economy recovered all the jobs lost during the pandemic.
by Jenna Lee,