America's Employers Quickly Adding Jobs Against Record Inflation

U.S. Economy Shows Robust Job Growth

America’s employers kept hiring vigorously in October, adding 261,000 positions, a sign that as Election Day nears, the economy remains a picture of solid job growth against record inflation.

The employment market for October 2022 added 261,00 new jobs is a strong number against this painful inflation. The unemployment rate ticked up from 3.5% to 3.7%.

Steady hiring, solid pay growth and low unemployment have been good for workers, yet they have also contributed to rising prices.

Employers continue to be concerned that it’s going to be harder tomorrow than to hire today. This suggests that many do not see a recession that will impact their growth and talent demand on the horizon.

Is the Near-Term Future of the Job Market A Mixed Bag?

The latest data offered hints that the job market might be cooling, if only gradually, as the Fed is hoping to see. Over the past three months, hiring gains have averaged 289,000, down from a red-hot monthly rate of 539,000 a year ago. Average hourly pay rose to 4.7% from a year ago, a smaller year-over-year gain than in September and down from a 16-year peak of 5.6% in March.

Last month’s wage increase will likely continue to fuel inflation pressures.

Health Care, Manufacturing and Professional/Business Services Look Promising

The October jobs report showed that job gains were widespread. Health care added 53,000, with hospitals and doctors' offices continuing to re-staff after having lost many workers at the height of the pandemic. Manufacturing added 32,000. Professional and Business Services, a key component of the economy that includes engineers, human resources, accountants and lawyers added 39,000.

The economy continues to grow at a 2.6% annual rate in the July-September quarter after having contracted in the first six months of the year.

The results continue to fall in line with the experience of our client base here at Finish Line Staffing Services.

If you need help with staffing or HR needs, give us a call. 781-890-8824 or email us at [email protected].