Category: Employment Report

September offered an optimistic glimmer for the U.S. economy as we head into Q4 — outputting the highest payroll increase since March with 254,000 added jobs. Even more, the national unemployment rate continued its gradual decline from 4.2% in August to 4.1%.

For some economists, the strengthening job numbers was the final piece needed to illustrate a healthy and moving economy. Coupled with the Federal Reserve’s half-point rate cut in September, all signs point to a soft landing and stability after months of uncertainty.

“Inflation has been quelled, and the economy’s fine — that’s a soft landing,” said Neil Dutta, head of economics at Renaissance Macro Research in a recent New York Times article. “The jobs report was ‘a sign that the economy is not falling off a cliff, a sign that it is stabilizing, and maybe perking up.'”

ITR Economics‘ Trends Report for September 2024 also foresees good economic news on the horizon, with employment growth accelerating in the first quarter of 2025 and through at least 2026.

What does this mean for job seekers and employers in the final months of 2024? We break it down in our Q4 forecast for accounting and finance professionals:

FOR EMPLOYERS

The quest to keep up with the evolving capabilities of AI (artificial intelligence) has companies on their toes — and will continue to as we learn more about how these technologies can shape roles and current duties. In fact, 41% of executives are anticipating “a complete overhaul of business processes” with AI at the core of these changes, according to a report by Microsoft and LinkedIn. For finance and accounting sectors, some enhanced use cases for artificial intelligence include increased productivity, automated tasks and gained insights from big data.

With this transformation in mind, hiring managers are on the hunt for candidates that have experience with AI platforms — even opting for professionals with skills in this area over those with more work experience.

The influx of quiet quitting from a few months ago has seemed to slow, with many workers more reluctant to seek new opportunities for a variety of reasons. To sway passive or comfortable professionals, employers should consider winning them over with higher salaries, workplace flexibility and career development.

Schedule a meeting with one of our recruiters to learn how we can address your hiring needs in Q4 or strategize for 2025.

FOR JOB SEEKERS

Upskill, upskill, upskill. The buzzword of the year is more than a trend for hiring managers — it’s a reality that they are actively seeking in their new hires. That’s right; AI is continuing to make its influence known across all industries, and it’s in candidates’ best interest to gain, at the very least, an introduction.

Microsoft and LinkedIn’s 2024 Work Trend Index Annual Report indicates that 76% of workers recognize that AI skills are needed to stand out in today’s labor market, with 79% believing it can expand their job prospects.

If your employer isn’t providing options to learn these type of skills, there are various options on LinkedIn and YouTube to assist with free or low-cost training to help get your feet wet.

Outside of this hiring trend, professionals can expect the job market to regain steam in the beginning of 2025. Before then, however, the holiday season is sure to bring a spike in temporary and interim work needs. Use this as an opportunity to get your foot in the door at a desirable company, gain experience of a new software or task and more.

Join our talent network to get access to exclusive career opportunities and connect with a recruiter today.

The first half of 2024 has been well, slower, for the U.S. economy, to say the least. Real GDP growth decelerated to 1.4% in Q1 this year from 3.4% in Q4 2024 — a result of inflation and elevated interest rates that have impacted consumer spending and domestic demand the first six months of the year, according to The Conference Board.

In June, employers’ payrolls increased by 206,000 jobs, and is a continuation of the 12-month trend of the U.S. adding an average 200,000 jobs each month. The national unemployment rate changed little at 4.1%, per the U.S. Bureau of Labor Statistics.

What can we expect for the latter half of 2024? More of the same, but there is hope for economic growth to pick-up toward the end of the year as inflation continues its cool down from 2022’s peak of 9.1%.

“In all, the very cool inflation data provided clear evidence that inflation is slowing meaningfully, exactly the kind of progress that Fed officials have been hoping to see as they contemplate when to begin cutting interest rates,” explains the New York Times.

In fact, Grant Thorton’s new survey of more than 225 senior financial leaders showed that 56% of participants are feeling confident about growth projections. Even more, 58% of respondents said that attracting and retaining key talent is a priority for the next 12 months. And, with the demand for skilled accounting and finance professionals in a shrinking sector — Q3 and Q4 have a lot of optimism in store.

Here’s our forecast of what both employers and job seekers can expect in Q3 2024.

For Employers

In an uncertain market, it’s understandable for companies to be more cautious in their hiring decisions. But that tactic may be costing you top talent.

Slower interview processes and limiting hiring strategies to only permanent roles can be inhibiting businesses from landing candidates with the most in-demand skills, experience and credentials. Effective steps like streamlining recruitment approaches from five interviews to two, or taking on consultants while identifying that direct hire unicorn can help you get the right people in the seat without affecting productivity.

Another key factor to consider: what matters most to today’s worker. According to new research by Economist Impact, many employers are missing opportunities to align their benefits to employees’ expectations.

“Just three in 10 employees at mid- and large-sized American companies strongly agree that they are satisfied with their retirement plan,” the research showed. “Nearly six in 10 (57 percent) are not confident they will be able to retire at the federal retirement age.”

Evaluate your company’s compensation, benefits and other perks to see how they measure up. Not sure where to start? Check out some of these effective strategies that can help with both talent recruitment and retention.

For Job Seekers

The job market has been largely candidate-driven for the past few years, with the highest number of U.S. workers quitting their jobs in a single month peaking in April 2022. This clear power dynamic resulted in companies boosting salaries, offering flexible schedules and other attractive tactics to win over skilled talent.

Job seekers’ confidence has waned, however, and the quitting rate now sits below pre-pandemic levels at 2.2%. This trend comes alongside white-collar slowdown and decline in compensation for new hires, according to The Wall Street Journal.

Still, accounting and finance professionals do have an advantage — touting a much lower unemployment rate than the national average. Candidates seeking new opportunities in these functions can stand out from their peers by upskilling in areas that are most sought-after by employers, including, artificial intelligence, problem solving and earning advanced credentials.

Browse our most recent jobs in your area or connect with one of our seasoned recruiters today.

The outlook for the U.S. labor market in 2024 signals a shift back to stability and regularity. Bolstered by the robust consumer spending and labor market of 2023, the recession concerns have diminished.

Economists anticipate a more stable economic climate, especially with inflation on a downward trajectory. While unemployment could see a marginal rise and job growth may temper, the demand for finance and accounting professionals is expected to remain exceptionally high.

The projected annual GDP growth of 2.6%, supported by a decline in inflation, sets a promising economic backdrop. According to the March Employment Situation Summary from the Bureau of Labor and Statistics (BLS), average hourly earnings have increased by 4.1% over the past year, with a notable 0.2% rise in March. Meanwhile, the unemployment rate has consistently hovered between 3.7% and 3.9% since August 2023, staying level at 3.8% in March.

Given this backdrop, here’s what employers and accounting professionals can expect in the upcoming quarter of 2024.

FOR EMPLOYERS

The current hiring landscape in finance and accounting is complex. The shortage of accounting professionals became visible on Wall Street recently when Lyft Inc., Planet Fitness Inc., Mister Car Wash Inc. and Rivian Automotive Inc. had to correct typos in their quarterly earnings statements. Mistakes happen, but the increasing demands on accounting staff are cited as a significant cause of the recent increase in errors.

Talent Shortage Increases Burnout Risk

This staffing shortage, driven by the retirement of seasoned practitioners and the industry’s challenges in attracting the next generation, has increased workloads and extended hours for existing staff. The heightened risk of errors and burnout is a practical reality.

Efficiency and Automation

The pathway to efficiency includes leveraging automation tools and assigning more tasks to noncertified professionals where appropriate — freeing accountants to focus on the highest value work.

The thoughtful use of technology and noncertified professionals to improve workflow efficiency can limit the manual and repetitive tasks that hamper productivity. It can also increase accuracy and alleviate other issues caused by the staffing shortage.

Emphasize Social Impact

In addition to competitive salaries and job stability, Gen Z accountants seeking entry-level positions respond to social impact keywords. Employers who connected the accounting position to sustainability efforts, supporting local communities or other social impact keywords received 80% more applications.

When you work with Century Group as your strategic staffing partner, you gain access to our extensive network of accounting and finance professionals, including many passive candidates who would never respond to a job posting but are open to the right opportunity. Our diligent efforts and deep industry relationships have cultivated a network of candidates who can help drive your business forward.

FOR JOB SEEKERS

Navigating the job market in accounting and finance requires a clear understanding of where you are in your career and the strategies and leadership skills needed for advancement. At the heart of this journey is recognizing your expertise is a substantial asset that can open doors, especially with the right specialization and certification.

Career Growth and Opportunities

Accounting offers many options, from public and corporate accounting to roles within government sectors. Each path provides unique opportunities to specialize and progress toward high-level finance roles.

The demand for skilled finance and accounting professionals is high, and salaries are rising, which can translate into stiff competition for the most desirable roles. Focusing on niche areas within accounting can set you apart. Professional certifications can enhance your credibility and position you for advancement.

Market Dynamics

As some accounting tasks are automated, staying adaptable and upskilling are critical.

More employers want candidates with data analysis and interpretation skills alongside core accounting knowledge.

This shift reflects vast amounts of available data, emerging technology, and the value of analytical capabilities in decision-making processes.

Adapting to Change

Continuing to upskill ensures you remain indispensable as the field and technology evolve. Depending on where you are in your career now, you may want to develop leadership skills and an understanding of business processes. Analyzing financial data to forecast trends and impact profitability positions you to help steer the organization’s financial strategy.

At Century Group, we specialize in advancing the careers of accounting and finance professionals. Whether you’re seeking to accelerate your career trajectory or find a position with opportunities for professional development or advancement, our expert team is here to help you find the right role.

Strategically Positioning for Future Opportunities

The 2024 Q2 Accounting and Finance Employment Report paints a picture of a labor market rebounding and stabilizing in the wake of the pandemic. The finance and accounting sectors hold a strong and vital position as the U.S. labor market transitions toward a more normalized state. By staying attuned to market dynamics and embracing strategic workforce development, employers and professionals can navigate this landscape and capitalize on the opportunities it presents.

The post-pandemic U.S. job market continues to stabilize and grow — 2023 concluded with a steady rate of new hires and relatively low unemployment rates. While the Fed works to keep inflation in check and maintain steady economic growth, the overall labor market seems to be moving toward more normal conditions in many industries. For finance and accounting, however, the sector promises to be a hot labor market.

Looking at the 2024 Q1 employment report, the GDP’s 4.9% increase in the fourth quarter of 2023 was the biggest since 2021. Meanwhile, the unemployment rate held steady at 3.7% in December, according to the U.S. Bureau of Labor Statistics.

The University of Michigan’s Survey of Consumers showed a 14% leap in consumer sentiment in December, climbing to a midpoint between pre-pandemic levels and 2022 lows. After a year of recession worries, higher wages and lower-than-expected inflation contributed to a surge in confidence across all age groups and demographics.

In accounting and finance, an estimated 75% of CPAs reached retirement eligibility by 2020, and more than 300,000 accountants quit their jobs between 2019 and 2021. This creates opportunities for job seekers and requires creativity from employers.

Here is a look at what accounting and finance professionals and companies can expect in 2024.

For Employers

With so many experienced accounting and finance professionals retiring, employers are finding creative approaches to attract talent, improve retention and develop the potential of existing employees to meet their finance and accounting needs.

Remote and Hybrid Schedules

Some employers stand out from the crowd, attracting and retaining skilled professionals by offering flexible work arrangements. Paired with competitive salaries, hybrid or remote work options are a significant draw.

Upskilling To Meet Demand

Some hard-to-fill or high-demand positions are opportunities to upskill existing staff or hire for potential and trainability. In the wake of the 2023 bank failures, the financial services sector needs qualified risk and compliance professionals. Stock market fluctuations necessitate adept fund managers who can help clients rebalance their portfolios.

In alignment with trends toward skills-first hiring, managers are opting to relax experience requirements. Instead, they are recruiting entry-level professionals who demonstrate a strong capacity for learning on the job. This shift addresses immediate staffing needs and invests in the long-term development of a skilled workforce.

When you work with Century Group as your strategic staffing partner, we help you access a broad and diverse talent pool of accounting and finance professionals. This includes active job seekers and passive candidates open to the right opportunities. We tailor our recruitment strategies to fit your staffing needs.

For Job Seekers

The first quarter of 2024 presents opportunities for job seekers in the accounting and finance sectors. With the current talent shortage, there are several strategies and trends that prospective candidates should be aware of to maximize their chances in this competitive yet opportunity-rich market.

The Rise of Contract Roles

More firms are working with contract professionals, which opens an avenue for job seekers. Contract roles provide immediate employment opportunities that can lead to permanent positions. If you’re open to contract work, these positions can provide valuable experience, networking opportunities and a foot in the door at sought-after companies.

Targeting High-Demand Areas

Roles in financial planning and analysis (FP&A), financial reporting, risk and compliance, fund management and general accounting are in high demand, with unemployment rates comfortably below the national average. Job seekers looking to enter the field or change roles should consider upskilling or reskilling in these high-demand areas.

Preparing for the Market

To stand out to employers, highlight relevant skills and quantify your accomplishments on your resume and during interviews. Online and in-person networking can play a significant role in uncovering opportunities. For example, engaging with professional groups, attending industry events and staying updated with industry trends will help you make a mark in the finance and accounting sectors now and as your career develops.

In addition to accreditation and relevant skills, employers look for soft skills like leadership, collaboration, communication and the ability to present your ideas.

Working with a dedicated recruiting agency is a great way to accelerate your career. At Century Group, we only work with finance and accounting professionals, so we have deep expertise you can use to find a role and a company culture that genuinely matches your professional and personal needs.

Potential Growth and Advancement Ahead

Our 2024 Q1 employment report shows employers and job seekers in the finance and accounting sectors face unique challenges and opportunities. Both parties can navigate this dynamic landscape successfully by staying adaptable, focusing on skills development and leveraging specialized resources like Century Group. The year ahead promises growth and advancement for those prepared to seize the opportunities in this evolving market.

Despite economic frustrations like inflation and hiring reticence from some sectors, the job market remained steady in Q3 and is forecasted to continue through the rest of 2023.

The U.S. Bureau of Labor Statistics reported that 336,000 jobs were added in September — nearly doubling what economists predicted, according to The New York Times. In fact, last month’s numbers showed the most job growth this year since January. The national unemployment rate remained unchanged at 3.8%.

LinkedIn’s Senior Economist, Kory Kantenga, notes that one of consumers’ most pressing concern — inflation — is on a bumpy, downward path, helping to raise the overall economic outlook as we move into the New Year.

Still, it’s a balancing act for employers and job seekers in Q4, as both have different motivators influencing their hiring and employment decisions. We share both outlooks in our Q4 accounting and finance employment forecast.

For Employers

Staffing as a whole has declined in 2023, specifically in the areas of human relations, accounting and finance. But, according to Kantenga, he believes the most pain in this area should be behind us and an uptick in temporary workers being added to payrolls is expected.

What does that mean for companies? The battle for top talent remains in full effect. One impactful tool: salary transparency. Providing this information in a job advertisement is more likely to entice top performers to engage with the role, as pay remains a key motivator for job seekers in today’s climate. Employees want to feel empowered by their career decisions, so starting the working relationship on open, even footing sets the tone for the future company dynamics.

The battle for top talent remains in full effect. One impactful tool: salary transparency.

Another successful tactic is rethinking the type of candidates company’s are considering when evaluating potential employees. Many hiring managers are turning to a skills-based hiring approach to combat a limited talent pool and establish a more equitable workforce, but in a recent ZipRecruiter survey, there are still three important areas that are lacking: time management, critical thinking and professionalism. Review this interview guide to help get the right person in the seat.

For Job Seekers

Even with some economic uncertainty from both employers and job seekers, most recruiters consider the labor market to still be candidate-driven. In a recent survey of tech agency recruiters, 31.2% of recruiters expressed optimism for the job market in Q4, with 64.7% believing candidates still have the upper hand.

Job seekers should continue to evaluate career opportunities based on what matters most. Successful companies are including salary ranges in their job postings, as well as showcasing hybrid work arrangements to cater to employees’ desire for financial security and flexibility. Leverage interviews to discern if a company — not merely the role — is an ideal fit. Or, simplify the job search process in its entirety with the assistance of a recruiter to maximize your results for a faster, more successful job match.

As we embark on the last half of 2023, the labor market in Q1 and Q2 exhibited surprising resilience — despite rate hikes and other measures by the U.S. Federal Reserve to help fight inflation. In fact, the Wall Street Journal says, “lay-offs are still at a historically low level,” and there continue to be more job openings than available candidates.

And, according to the U.S. Bureau of Labor Statistics, companies added 209,000 jobs to their payrolls in June, with the unemployment rate increasing slightly to 3.6% with gains in government, health care, social assistance and construction industries.

Signs of a slow-down are making themselves known, however, with more white-collared professionals seeking the assistance of recruiting firms to aid in their next career move as employers become less urgent about growing their teams. We breakdown what both accounting and finance professionals and companies can expect for Q3 in our forecast.

For Employers

While employers are becoming increasingly selective in their hiring efforts, businesses need to adjust their leisurely pace when it comes to engaging with accounting and finance professionals. Why? Well, frankly, because there’s been a significant workplace exodus of skilled workers in these functions — with a drop of 17% in the past two years.

From the boomer generation starting to leave the workforce to job seekers transitioning to more alluring career paths in finance and technology, the talent gap has led to employers offering salary increases to win over talent or utilizing temporary consultants to manage workloads. Both are tactics in line with current hiring trends as we head into the second half of the year.

Our latest Salary Guide’s No.1 theme for 2023: money matters. And, according to Salary Budget Planning Survey by WTW, this could continue into next year.

“While we are seeing lower salary increases forecasted for next year, they’re still well above the ones we’ve seen for the past 10 years. This shows that companies are striving to stay competitive in an everchanging work climate,” says Hatti Johansson, a research director at WTW. “Those companies that have a clear compensation strategy as well as a pulse on the factors affecting it will be more successful attracting and retaining employees while keeping pace with an evolving environment in which yesterday’s certainties no longer apply.”

Our 2023 compensation report has current salary data for more than 40 accounting and finance roles to help employers ensure they are offering their prospective and current employees competitive salaries that are at or above market rate in their region.

Other key motivators of today’s workforce are engaging company cultures, as well as organizations that emphasize employee development and encourage feedback outside of annual reviews. One great way to make this part of your business’ operation? Regularly scheduled stay interviews to help establish an open line of communication.

For Job Seekers

The candidate shortage offers an exciting environment for seasoned accounting professionals. For one, experienced talent in this sector are particularly desirable in the current hiring landscape — paving the way for career opportunities that provide the growth, pay and benefits that are most important to them.

Secondly, this is an ideal time to explore additional job duties through temporary or contract work. Is there a software or industry that you’re looking to explore, but don’t have the chops for a direct hire role? Consulting provides the flexibility to tackle assignments on a temporary basis, allowing accounting and finance professionals to grow their experience and networks at various companies with competitive compensation. Many employers are more open to temporary hiring solutions as they navigate the changing market environment.

Partnering with staffing and recruiting experts can help in this quest — identifying job opportunities not currently on job boards and advocating for top-notch benefits and pay on your behalf. Contact our team today to get started!

The Big Picture

Employers increased their payrolls by 236,000 jobs in March—including gains in leisure and hospitality, professional and business services, government and health care industries. And the national unemployment rate dipped slightly from February’s 3.6% back down to 3.5%.

Credit: U.S. Bureau of Labor Statistics

This growth remains healthy by traditional standards but lay-off announcements and rising interest rates have begun to decelerate employers’ hiring efforts. Still, the labor shortage for accounting and finance professionals has created a different experience for this community of workers—as well as the companies who hire them.

We break down our forecast of what employers and job seekers can expect in Q2.

For Employers

More than 300,000 accountants and auditors have left their profession in the past two years, according to the U.S. Bureau of Labor Statistics. The cause? Well, a few things. Generational shifts in the workplace is one factor, with many baby-boomer professionals heading toward retirement. But probably most concerning for employers is the significant drop of recent graduates entering the field and a large group of professionals of all ages exiting since 2019. In fact, the Association of International Certified Professional Accountant’s reports a near 9% decrease in accounting majors for quite some time now — seeing the drop as early as 2012. Other more enticing fields, like finance and technology, are providing more of a draw to these workers recently.

In response, companies have raised accounting and finance role salaries to help attract more talent to filling open positions. An article in The Wall Street Journal says the starting salaries for entry-level U.S. accountants and auditors rose 13% to nearly $61,000 a year in 2022. Employers hesitant to make serious hiring decisions in this market are now turning to temporary or temp-to-hire solutions to address the lack of talent, while still getting the accounting and finance departments’ workload addressed.

Starting salaries for entry-level U.S. accountants and auditors rose 13% to nearly $61,000 a year in 2022.

Partnering with staffing and recruiting firms that have viable, up-to-date talent networks who have the experience to hit the ground running is an essential resource in 2023. These hiring experts have an intimate understanding of the latest hiring trends that are currently swaying candidates’ decisions and can offer insights on how to win talent over. Another tactic that’s proven successful for employers is broadening qualifications for certain roles and hiring for potential rather than specific credentials or experience that can be learned on the job.

For Job Seekers

While the trajectory for accounting, tax, finance and audit professions may seem lackluster— the potential in these roles can be fulfilling and lead to long, exciting careers. Not only is it lucrative, especially with the current talent shortage, but this profession can provide the foundation for those more enticing opportunities in technology or finance down the road.

Now’s the time to explore what this field has to offer. Take on temporary or temp-to-hire positions to expand your knowledge, software experience and industry knowledge. Learn what type of benefits, culture and career development initiatives are most important to you and seek them out in prospective roles. To jump-start this process, check out our latest job opportunities in an area near you.

The Big Picture

In 2022, the U.S. added 4.5 million jobs — the second-most on record, according to the New York Times. And while job production maintained its slowing trend, employers increased their payrolls by 223,000 jobs in December, which included gains in construction, retail trade, manufacturing, financial activities and transportation industries. The national unemployment rate edged back down to 3.5% from November’s 3.7%.

Credit: U.S. Bureau of Labor Statistics

So, what does this mean for the quarter ahead?

ITR Economics‘ 2023 outlook remains cautiously optimistic and continues to expect GDP growth throughout the year. In fact, the likelihood of a mild recession on the horizon is tempered by what they foresee as a relatively tight labor market compared to prior recessions.

“There are roughly two job openings for every unemployed person in the U.S.,” ITR explains. “We are not likely to see that ratio reverse to a negative number during the next two years, which will keep upside pressure on wages and indicates consumers will have the ability to continue spending, even if the pace is not as robust as in the prior years.”

We detail more of what employers and job seekers can expect in Q1 for 2023:

For Employers

Demand for temporary workers in the U.S. is expected to increase by 1.1% this quarter, even as the need for consultants has been softening for the last few months, according to Palmer & Associates’ Palmer Forecast. Employers rely on temporary workers to complete key projects and assist with brimming workloads without having to commit to a long-term arrangement — and is clearly a hiring tactic that’s expected to continue in 2023.

Even more, the New York Times highlights that the low unemployment rate translates to another year of talent having the upper hand in the labor market, with half of the global C-Suite leaders surveyed in the Palmer Forecast expecting wages to remain on the rise.

Along with competitive offers and at-market compensation, hiring for key skills instead of credentials is a trend hiring managers are expected to lean into. Identifying specific soft talents can start as early as the interview process or as late as your most tenured employee. In fact, upskilling is a cost-effective way for companies to invest in their current staff to provide professional development opportunities while meeting their business goals.

Request top financial talent for your temporary or direct hire needs today.

For Job Seekers

Sure, while the tight job market illustrates two job openings for every available candidate, inflation and other economic concerns are leaving some employers cautious when it comes to growing their teams.

Stand out from your peers by prepping for the future interviews using our research guide — making sure you know how to adeptly quantify your value through past performance situations. Employers are also putting more emphasis on your digital footprint this year. Take inventory of your online presence and adjust accordingly.

Get a start on your job search by checking out our newest accounting and finance opportunities near you.

The Big Picture

The U.S. added 263,000 jobs in September, according to the U.S. Bureau of Labor Statistics — highlighting notable gains in professional and business services, as well as leisure and hospitality and health care sectors. The national unemployment rate also dipped slightly from August’s 3.6% to 3.5%.

In the past 12 months, hourly wages have increased by 5%. This trend is in line with employers using competitive pay as a tactic to win over skilled talent, especially as high interest rates and inflation continue to impact the everyday consumer. Coupled with the tight labor market and unclear forecasts of a looming a recession, companies are still trying to grow their teams while keeping their budgets in mind.

Credit: LinkedIn

But as LinkedIn notes, wage growth has begun to slow in the last two months — which may hint toward a brighter outlook for the economy in Q4 and 2023. We share what this means for employers and job seekers in the coming months.

For Employers

LinkedIn sees the recent data as a possible glimmer in the cloudy expectations of what’s to come, specifically the moderate salary growth and plummeting job openings. Down from two openings for every worker, that number has slid to 1.7.

“This is consistent with indicators like hires, quits, and job openings coming down — i.e., the labor market cooling from ‘extremely hot’ to just ‘very hot,'” the popular platform explains. The key takeaway: “The Federal Reserve might succeed in bringing U.S. inflation down without causing major damage to the U.S. labor market.” The economy could scrape by with a “soft landing” instead of a full blown recession.

For hiring managers, this “very hot” market still has skilled candidates driving the hiring landscape. In fact, the unemployment rate for degreed professionals is down to a low 1.8% — leaving experienced accounting and finance professionals in incredibly high demand. Offering candidates compensation at market rate is critical, as well as a flexible work arrangement. What was once not-so-important on the wish list for job seekers in 2020, is now within the top three most significant factors when evaluating a new career opportunity, according to a new Qualtrics report.

To learn more about candidate insights and what matters most to current professionals, check out our blog.

For Job Seekers

Hiring freezes and layoffs are at the forefront of recent news headlines as companies try to grapple with the economic uncertainty of 2023. But even as some business are making cuts, others are making plans to grow their teams. In a PwC survey of 700-plus executives, 83% said they are focusing their business strategy on growth — with only 30% viewing the possibility of a recession as a serious risk.

One indicator that points to a strong labor market: the staffing penetration rate. Employment in this area continued its upward trend in September with 27,000 staffing jobs added. And this need is only expected to increase in Q4.

So what does this mean for skilled accounting professionals and job seekers? Well, the market is yours — at least for now. Use this to your advantage. Identify opportunities that align with your most important criteria, including pay, work schedule, growth opportunity and more. Step into consultant roles to stretch your skill set or learn more about a company you’re interested in working for.

Partnering with staffing and recruiting firms can aid in this process, helping to connect professionals with top direct hire or temporary opportunities that would best meet their needs.

There’s been some mixed expectations for what to anticipate in Q3 and the rest of this year. High inflation readings coupled with the U.S.’ strong labor performance still have employers and candidates moving forward in their hiring and job search efforts, if not a little more cautiously.

In June, the U.S. Bureau of Labor Statistics reports a total of 372,000 added jobs, with gains in the professional and business services, leisure and hospitality and health care sectors. The national unemployment rate was unchanged at 3.6 percent for the fourth consecutive month — hovering just above the pre-pandemic low in February 2020. That stat for degreed professionals is even lower at a mere 2.1 percent.

 

 

 

 

 

 

 

 

 

 

Credit: U.S. Bureau of Labor Statistics

Still, CFOs are less optimistic than they were at the start of the second quarter. In fact, the previous expectation of 2.5 percent GDP growth for the next 12 months shrunk to 1.5 percent by those surveyed in The CFO Survey, a joint project of Duke University’s Fuqua School of Business and the Federal Reserve Banks of Richmond and Atlanta. The CFO Board, however, sees the clear momentum in the national job market as a positive sign — but predict a mild recession on the horizon.

So what does this mean for Q3? Check out our forecast below:

For Employers

Here’s the lead: companies are hiring. In fact, CareerBuilder notes a healthy temporary staffing penetration rate of 2.07 percent in June — a key indicator of hiring trends several months ahead of non-staffing employment.

 

 

 

 

 

 

 

Credit: CareerBuilder

Employers are continuing to put their best offers forward by showcasing inclusive company cultures and competitive salaries to attract candidates in a tight market. They’re also utilizing consultants to fill accounting and finance roles, and plan on relying more on contract workers in the coming years. Just in Q3, G. Palmer & Associates predicts the demand for temporary workers to increase by 9.6 percent in the U.S.

One area businesses should consider as they compete for professionals is exploring why team members choose to resign from their organization. According to NewsBreak, the “Great Resignation” is leaving some candidates regretful of their decisions — opening the door for companies to rehire “boomerang” employees. A good way to re-engage that talent is to understand the basis behind their exit, so you can address it in negotiations and pave the way for successfully retaining all employees.

For Job Seekers

Potential signs of a slowing economy aren’t stopping employers from acquiring the best accounting and finance people for their teams. And while the summer may seem like an opportune time to take a vacation from your job search, think again.

Unemployment rates for workers with a college degree are far less than the national average, with nearly two jobs open for every available employee. That means skilled professionals with experience and in-demand industry backgrounds have their fair share of options available, and should consider what is most important to them in a new role. Most importantly — don’t be afraid to ask for it.

Salaries are gradually rising to meet the demands of today’s professionals, as well as reflect the current cost of living and inflation. Within the past 12 months, the average hourly earnings rose 5.1 percent, according to the BLS. Other employers are more open to creating roles that are hybrid or remote to meet the needs of those seeking more flexible work schedules.

Partner with staffing and recruiting specialists to find career opportunities that check all your boxes, as well as gain access to jobs that may not be currently showcased on traditional job boards.