Category: Employment Report

May’s lackluster 72,000 added jobs indicated what many had feared — the economic slowdown is here. But if June’s encouraging bounce-back showed anything, we’ve staved off that reality for a bit longer.

The Labor Department reported 224,000 jobs were created last month and helped to close Q2 on a strong note. The unemployment rate’s slight rise from 3.6% early in the quarter to 3.7% is also a positive marker, according to the The New York Times. And actually illustrates the influx of people participating in the U.S. workforce rather than a warning of something more dire. For college-degreed individuals, unemployment remains at 2.1%.

Signs that wage growth is beginning to slow are also apparent. Hourly earnings rose only 3.1% percent within the last year — barely missing market expectations of 3.2%.

Source: BLS

UNEMPLOYMENT RATE DOWN FOR FINANCIAL PROFESSIONS

One thing is evident: the demand for accounting and finance professionals remains in full force. According to The U.S. Bureau of Labor Statistics, unemployment for accountants and auditors dropped from 1.8% to 1.5% at the end of Q2 — falling well below the national unemployment rate and those with a Bachelor’s degree and higher.

Here’s the unemployment breakdown by roles:

• Accountants and auditors: 1.5%
• Financial managers: 1.2%
• Financial analysts: 1.4%
• Bookkeeping, accounting and auditing clerks: 1.8%
• Billing and posting clerks: 1.0%

CENTURY GROUP’S FORECAST

For Employers

ITR Economics’ Trends Report foresees an optimistic outlook for the U.S. Private Sector within the next couple of years: employment will rise through at least 2021. Yes, the pace is expected to slow as we head into the last quarter of 2019 and into next year. But companies should resist the impulse to reduce their teams, as today’s tight labor market continues to make it difficult to replace employees.

Bottom line: Employers should continue courting candidates. Focus on offering competitive salaries, remaining engaged throughout the hiring process and presenting job offers quickly.

For Candidates

Now is a great time for job seekers to explore their options. Evaluate your current role — are all your needs being met? Networking with colleagues and other professionals can help introduce you to new positions that are a better fit.

But remember: when considering a new role, it’s important to remain a courteous candidate. Practicing flaky and rude habits like “ghosting” can have long-term effects on your career.

Download your copy of our 2019 Salary Guide for more employment trends and insights.

Q1 ended on a high note — painting the picture of a healthy job market as March came to a close. February’s disappointing 20,000 jobs even edged upward to a revised 33,000, while the Labor Department reported an impressive gain of 196,000 jobs last month.

These figures surpass most economists’ expectations as the threat of a slowing economy appears to be abated for now. But growth is moderate, especially in comparison to last year’s stellar numbers. According to The New York Times, 2018’s high job production rate wasn’t sustainable long-term, and strong hiring in several sectors — including professional and business services — is a positive sign for the U.S. labor force. Pay increases also indicate continued economic expansion, with hourly wages reported as 3.2% higher than last March’s.

UNEMPLOYMENT RATE REMAINS STEADY

Source: BLS

The Bureau Labor of Statistics reported the unemployment rate remained at 3.8% in March, while the number for college-degreed workers shrunk from 2.2 to just 2 percent. This number is even lower for accountants and auditors. For Q1, BLS reported the unemployment rate at 1.8% .

Here’s the unemployment breakdown by roles:

• Financial analysts: 1.0%
• Financial managers: 2.3%
• Accountants and auditors: 1.8%
• Bookkeeping, accounting and auditing clerks: 2.0%
• Billing and posting clerks: 1.2%
• Compliance officers: 0.8%

Bottom line: Skilled and credentialed financial professionals remain in-demand, as employers continue to compete for top talent.

CENTURY GROUP’S FORECAST

For Employers

The story hasn’t changed much. For employers, a tight labor market and a low, steady unemployment rate translates to more hiring and recruiting challenges as we move into Q2. To stand out, showcase aspects that are attractive to today’s talent: engaging company culture, competitive compensation packages and roles that offer growth and mentorship opportunities.

Companies seeking candidates with specific skill sets should consider the help of staffing and recruiting firms that can help identify professionals with the right background.

For Candidates

This candidate-driven market has given job seekers an edge. Your skills are a valuable resource — use that to your advantage.

Take the time to weigh what factors are most important when identifying your next career opportunity. Is work-life balance a priority? How about benefits and perks? Make sure you address these areas during the interview process, so you can find the best position — and company — for you. Becoming a temporary worker is also a profitable way to experience different roles on a more flexible schedule.

For those candidates who want to make themselves even more attractive to employers, consider upskilling. According to our 2019 Salary Guide, accounting and finance professionals with CPAs and MBAs are the most sought after. Improving your soft skills is also an option for job seekers looking to get ahead, and can be applied throughout your career.

Download our 2019 Salary Guide for more industry trends and insights, or contact our team to help with your hiring needs.

It’s 2019. And despite last month’s spiraling stock market and talks predicting a recession on the horizon, the labor market remains steady — much like the competition for skilled talent.

With the national unemployment rate at 3.9%, the demand for professionals continues to drive the current hiring environment. Candidates are at the wheel. And employers must find new ways to meet their needs with higher pay, a strong company culture and better benefits.

EMPLOYMENT BY THE NUMBERS

According to the U.S. Bureau of Labor Statistics, employers added 312,000 positions in December — easily surpassing expectations and December 2017’s 148,000. Professional and business services added 43,000 jobs last month, bringing its total to 583,000 jobs for the year — the highest among all sectors reported by BLS.

Last year’s big corporate tax cut only spurred an already strong economy, with the creation of 2.6 million new jobs in 2018.

Experts aren’t worried about the slight uptick in unemployment as the labor participation rate also increased to a year-high of 63.1%, signaling more people are rejoining the workforce. Unfortunately, the economy continues to create jobs at a rate that outpaces the number of available candidates.

The Big Picture:

Source: BLS

• • Total unemployment: 3.9%
  • Unemployment for workers with some college or associate degree: 3.3%
  • Unemployment for workers with college degree and higher: 2.1%

For Accounting and Finance Professionals:

The breakdown of roles below illustrates the unemployment rate for finance and accounting professionals is below the national average, according to BLS. Financial professions are projected to see an increase in demand as responsibilities have expanded to permeate all areas of business.

• Financial analysts: 1.2%
• Accountants and auditors: 1.6%
• Bookkeeping, accounting and auditing clerks: 2.1%
• Financial managers: 2.6%
• A/P and A/R specialists: 3.8%

TRENDS AT A GLANCE

So, what does this all mean?

For employers, tapping into the mindset of today’s job seeker is key. Competitive compensation continues to top the list of reasons for choosing a new position, but that’s not enough to sway talent with multiple offers on the table. Other factors, such as presenting opportunities in terms of growth and development, robust benefits packages and establishing an attractive corporate culture are all integral to hiring — and retaining — top talent.

For candidates, the time to act is now. Businesses are preparing for projects with a new, 2019 budget and are looking to hire. Still, it’s important job seekers retain an edge during their search. Tips like tailoring your resume to fit the specific role to putting your personal network to use to find an “in” with a company are small, significant ways to separate yourself from other candidates.

Temporary Staffing on the Rise

Temporary or contract work is also an increasingly popular option for consultants seeking flexibility in their careers. Employers are turning to temporary workers to meet the staffing demands of a tight labor market, with BLS reporting a record 2.06% of December jobs as temporary help. In fact, HR Dive predicts, “independent contract workers will comprise 60% of the workforce within the next 10 years.”

CENTURY GROUP FORECAST

While we don’t know the long-term effects of the partial government shutdown, expect growth to slow in the overall economy. Still, hyper-low unemployment and the shortage of accounting and finance professionals will require employers to rethink how they attract and retain top talent. Companies may need to be more flexible with their hiring criteria. Or, if they want to secure experienced, credentialed and skilled professionals, come to terms with pay increases.

Staffing and recruiting firms are equipped to help both employers and candidates navigate today’s competitive hiring environment. Century Group works with leading companies — giving them access to a curated talent network of financial professionals with CPAs, MBAs and public and private accounting backgrounds.

We understand what type of offer will get a candidate to consider a career opportunity, and can connect job seekers with exclusive jobs unavailable anywhere else. To learn more about our direct hire and temporary staffing services, contact our recruiters today.

On Monday, Carl Fillichio – a spokesman for the U.S. Department of Labor – put out a press release, in which he asserted that the organization intends to release its Employment Situation report for the month of October, as planned, at 8:30 a.m., on Friday, November 2.

There is some speculation coming from media outlets regarding the prospect of a delay in the report’s release. As The Washington Post points out, the federal government was essentially shut down on Monday and the final tabulation of the net change in job numbers could be slowed down if the Department of Labor is unable to resume operations quickly enough.

“The employees at the Bureau of Labor Statistics are working hard to ensure the timely release of employment data on Friday, Nov. 2,” said Fillichio. “It is our intention that Friday will be business as usual regarding the October Employment Situation report.”

This month’s numbers are highly anticipated by many analysts and observers, in light of the splash created by the unexpectedly positive figures contained in the September jobs report.

Economists surveyed by Bloomberg produced a median forecast in which there will be a net increase of 125,000 jobs reported, while the official unemployment rate is expected to increase slightly from 7.8 percent to 7.9 percent.

This prediction points to slow growth, but ongoing job creation would still give business leaders a reason to remain at least somewhat optimistic.

However, with uncertainty still clouding the economic recovery, it is critical for companies to ensure they are prepared for all possible outcomes. Recruitment firms can help businesses bolster their executive teams through a targeted financial professional search.