December Jobs Report: Unemployment Increase, Job Growth
The Numbers: “The U.S. Labor Market saw an increase in employment in December, closing the year with the addition of 312,000 total nonfarm payroll jobs, according to the U.S. Bureau of Labor Statistics’ monthly jobs report. The growth occurred in health care (+50,000), food services and drinking places (+41,000), construction (+38,000), manufacturing (+32,000) and retail trade (+24,000).
The unemployment rate rose from its sustained 49-year low of 3.7% to 3.9% in December, and the number of unemployed people increased by 276,000 to 6.3 million.”
Private Payrolls Increase by 271K
The Numbers: Per ADP and Moody’s Analytics, private payrolls soared by 271,000 – the best month since February 2017. An earlier forecast from Reuters saw the growth at 178,000. Professional and health services were at the forefront of growth, with medium-sized companies doing most of the hiring.
Minimum Wage Increases Hit 19 States
The Numbers: The new year will see a minimum wage increase across 19 states, including Minnesota ($8.04 for some employees), New York ($15 for NYC based fast food workers), Oregon, and Washington D.C.
Gen Zers Have Skills, But Unsure About Entering Workforce
The Numbers: While Gen Zers are confident about their tech knowledge and want the opportunity to shake things up, per a Dell Technologies survey, many are unsure about entering the workforce. This generation is interested in working with cutting-edge technology and care about data security but aren’t sure how to address it. 75% stated they ‘expect to learn on the job from co-workers or others instead of online.’
Half of CFOs in U.S. Missing a Successor
The Numbers: 52% of all CFOs participating in a recent Robert Half Management Resources survey stated they have a successor. Of those in small business, only 37% said so. This points to a possible sign that small businesses are not prepared for leadership change. Respondents that stated they did not have a successor stated that they weren’t planning on leaving the company any time soon (64%), lacked qualified candidates (17%), were focused on other priorities (14%), or weren’t thinking about a future transition as they wouldn’t be with the company at that time (4%).
Gender Gap May Not Close This Century
The Numbers: Research from the World Economic Forum shows that fully closing the gender pay equity worldwide will take 108 years. The report finds that a 32% average gender gap still needs to be closed. Political empowerment is the area with the largest gap at 77%, with economic participation and opportunity following at 42%.
Accepting First Salary Offer Could Cost You
The Numbers: 64% of responding job seekers stated they accepted the first salary offer received at their last position, per a survey by ZipRecruiter. Those in the 18-34-year-old range were less likely to negotiate a higher salary as 84% accepted the first salary offered. Those that did negotiate received $5k more on average. It’s estimated that with a 5% salary increase each year, the accumulated loss for those not negotiating a higher wage would be around $750k over the course of their career.
Slight IT Job Growth Heading into 2019
The Numbers: IT jobs in the U.S. increased by 0.18% in November to over 5.3 million – a small gain from October per the TechServe Alliance. “After declining in October, IT employment edged into positive territory in November,” TechServe Alliance CEO Mark Roberts said.
Consumer Confidence Index Decreases in December
The Numbers: “The Conference Board’s consumer confidence index decreased in December, following a modest decline in November. The index fell to a reading of 128.1 (1985=100), down from 136.4 in November.
“Consumer confidence decreased in December, following a moderate decline in November,” said Lynn Franco, senior director of economic indicators at The Conference Board. “Expectations regarding job prospects and business conditions weakened, but still suggest that the economy will continue expanding at a solid pace in the short-term. While consumers are ending 2018 on a strong note, back-to-back declines in expectations are reflective of an increasing concern that the pace of economic growth will begin moderating in the first half of 2019.””
Small Businesses Behind in Leveraging Tech in Hiring
The Numbers: Only 45% of ‘micro’ companies and 53% of small businesses use social networking in the recruiting process – compared with 73% of large companies, per research from HireRight. As well, 25% of micro businesses and 50% of small businesses leverage their corporate website to recruit and attract candidates – compared to 80% of large companies.
Global CEO Confidence Lowest in Six Years
The Numbers: After a decline in the third quarter, global CEO confidence decreased again in Q4 per The Conference Board. “Its measure of CEO confidence decreased to a level of 42 from 55 in the third quarter. This is the lowest reading since the third quarter of 2012 when the measure also hit a level of 42.”
A reading of more than 50 reflects more positive responses than negative ones.