April employment numbers continue to show modest job creation for the U.S. economy. The market added 115,000 nonfarm payroll jobs this month, and the unemployment rate remained little changed at 8.1 percent in April. Private-sector employment added 130,000, with professional and business services increasing 62,000, marking a total of 1.5 million new jobs since September 2009. Retail trade also rose by 29,000, and health care employment continues to increase, adding 19,000 jobs in April.
As the presidential election nears, and job creation continues to be a main priority and agenda item, many will continue to eye this data in hopes of increasing momentum in the months and years ahead. However, many experts are still calling for instability along the way.
- In April, employment in temporary help services edged up 21,000
- Jobs grew in architectural and engineering services, adding 7,000 in April
- Computer systems design and related services also increased by 7,000
- Within health care, employment in ambulatory health care services rose by 15,000
worker confidence shows slight decrease
Reports indicate a slight dip in worker confidence this month, largely prompted by recent concerns about the economy and the job market. The Randstad U.S. Employment Report shows just over a quarter (27 percent) of employees believe the economy is getting stronger, a decline of five percent from last month. However, we don’t believe this will be sustained cooling of worker confidence, rather an expected bump along the way to long-term economic recovery. In fact, historically U.S. worker confidence in April is higher than this time in both 2011 and 2010.
many private sector industries hiring
Several industries are continuing to aggressively hire new talent, and maintain a healthy pipeline of job openings. For instance, an increased demand for IT projects, more money to execute on those projects, and a shortage of talent are all contributing to significant job opportunities for IT workers. As more companies begin to execute on IT initiatives, finding the talent to do so has proved challenging. As a result, more hiring managers are turning to continent labor with the IT temporary staffing sector projected to have the highest growth percentage out of all other industry segments at 12 percent from 2012 to 2013.
Engineering, Accounting/Finance and Healthcare are all expected to sustain their aggressive job creation this year. For example, employment in the healthcare profession is expected to grow nearly twice as fast as the general economy, resulting in a projected 3.5 million new jobs by 2020.
- A recent InformationWeek survey found that 56 percent of business technology decision-makers plan to increase IT spending in 2012, while 75 percent see heightened demand for new IT projects.
- The unemployment rate today for registered nurses is 1.9 percent, physicians/surgeons hovers at 1.1 percent, and occupational therapist is .8 percent.
- According to the Department of Labor, there were more than 1.6 million jobs in engineering at the end of Q1 2012 and is expected to grow at 11 percent over the next ten years.
leveraging contingent labor to achieve business objectives
Many organizations are utilizing contingent labor to help achieve two primary objectives – source hard-to-find talent and maintain flexibility in their staffing models. For example, we are seeing high demand for skills such as, engineers and ICU nurses to fill temporary or project-based roles before adding them as permanent headcount when needed.
In fact, our organization recently expanded and rebranded to further support our customers’ need to execute on strategy, improve business agility and be well-positioned for growth. The company’s global talent leader, Randstad SourceRight
, was just recognized as the top Managed Service Program (MSP) provider by HRO Today, which ranks suppliers based on responses to a global customer satisfaction survey. As companies navigate their own recovery, many are turning to such providers to help create and sustain a variable workforce model.
national employment trends
- Non-farm payroll added 115,000 jobs in April
- Private-sector payroll rose 130,000 in April
- Health care: +19,000; Retail: +29,000; Professional and business services: +62,000
- Government: -15,000 jobs; Federal: -4,000; State: +1,000; Local: -12,000
- The IT temporary staffing sector is projected to have the highest growth percentage
- Analysts anticipate a 12 percent year-over-year growth for IT temp staffing from 2012 to 2013
- Healthcare and finance/accounting sectors expect 7 percent year-over-year growth
- Hiring managers are rapidly becoming more inclined to utilize contingent labor than in recent years
- The temporary help penetration is currently 1.86, a significant increase from several years ago
- The sector has added nearly 700,000 jobs since growth restarted in late 2009
Randstad employment trends & research
- The Randstad Employee Confidence Index decreased by 1.2 points in April
- Just over a quarter (27 percent) of employees believe the economy is getting stronger
- The Index registered at 54.3 in April after reaching its highest level in four years at 55.5 last month
- 46 percent of workers feel confident in their ability to find a new job