The latest Jolts Report shows quits held steady at 2.1 percent and layoffs are falling. Layoffs dropped to .9 percent in June. A rate as low as .9 percent is the lowest recorded, and has only occurred a few times over the last 20 years.
Job gains for July were less than expected at 114,000. Gains were mostly concentrated across a few main industries including construction, education and health services and leisure and hospitality.
The hiring rate also fell from 3.6 percent to 3.4 percent in June, as seen in the chart below. With fewer permanent layoffs and workers quitting, a lower hiring rate and fewer job openings compared to the last few years, some workers may be left feeling stuck.
Chart Source: St. Louis Fed
Job seekers also feel that the labor market is loosening. While the lower ratio of job openings to job seekers shows a better balance of supply and demand for employers, it could make it more challenging for the unemployed to find work. The ratio currently sits at 1.2, which aligns with pre-pandemic figures, but is down from the ratio of 2 to 1 felt at the peak in 2022. The chart below shows the number of unemployed persons per job opening, which held steady in June at .8.
Source: Bureau of Labor Statistics
ZipRecruiter’s Job Seeker Confidence Index also reports drops in confidence across all factors measured including expectations, preparedness, financial wellness and assessment of the present situation. Confidence fell across all ages, genders, and education levels in Q2. Confidence increases were observed amongst Asian job seekers, and higher-income workers making $115,000 or more. Dips were observed in red and blue states, but confidence fell more aggressively for seekers in blue states (measured by the 2020 election vote).
Job seekers’ struggles may be driving up long-term unemployment, as well as median unemployment. Median unemployment rose from 8.9 weeks in May to 9.8 weeks in June. Long-term unemployment, or people who have been unemployed for 27 weeks or longer, rose to over 1.5 million in June, up from 1.35 million people in May.
The overall unemployment rate also rose to 4.3%, up from 4.1% last month, which triggered the Sahm Rule. The Sahm Rule is a closely tracked recession indicator, which has traditionally been used as an upcoming recession warning.
The latest labor market update may be enough to trigger the Fed to finally cut rates in September. The Fed kept interest rates, which are at a 23 year high, steady this month. But it is widely believed that rate reductions will occur in September, according to the Associated Press.
The Recruitics Talent Market Index™ tracks the fluctuating price of attracting talent through paid advertising across a diverse range of media channels. These prices are indicative of the competitiveness in marketplace environments where employers vie for the attention of top talent.
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Truck transportation jobs continued to fall in July, down for the fourth month in a row. Employment within trucking now stands at 30,000 jobs less than one year ago. As far as predictions for coming quarters - some economic reports suggest that Trucking and logistics jobs will climb significantly by the end of the year as Q3 will bring the first net-positive growth of the trucking market since 2022.
Source: Bureau of Labor Statistics
For more information on year-over-year job and wage fluctuations across the transportation industry, check out the Indeed Hiring Lab quarterly update. The latest BLS transportation spotlight is also a helpful resource.
Source: Conversion Interactive Agency & PDA, Spring 2024 Truck Driver Survey
The chart below takes a look at truck driver sentiment. It comes from Revelio Labs and is based on an analysis of Glassdoor reviews over the last year. Raw texts from reviews were extracted into topics, which are the words listed in the chart. Topics were compared to source and destination companies to see why people leave and join. The factors in green are all factors that drive hiring, and those listed in red are factors of attrition.
Drivers remain frustrated by inadequate equipment, time they spend away from home, and limited opportunities to advance. Weaving in content to address these topics is recommended.
Factors Driving Attrition and Hiring
Source: Revelio Labs
Glassdoor recently published insights on which benefits are most impactful for workers in the transportation sector. Those benefits are included below and are separated into three categories: benefits that are table stakes to include, benefits that are best practices to offer at a minimum, and actual benefits that differentiate and set a company apart from competitors.
Source: Glassdoor
Best practice questions companies can ask themselves as they evaluate their benefit offerings include:
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