A Fluctuating Job Market

The July jobs report brought mixed results as the current unemployment crisis continues. As always, we must look at the facts and outline steps to move forward. While we must celebrate the victories, we can’t ignore the disproportionate effects still being felt by many.

The July 2020 unemployment rate fell for the third consecutive month, exceeding economist predictions, but still above the peak Great Recession rate of 10% and around three times pre-pandemic levels of 3.5% and 4.4% seen in February 2020 and March 2020 respectively.

As many companies adjust their business and hiring strategies, contingent work becomes more popular for companies and workers. Temporary jobs increased from 1.62% in June to 1.71% in July. There were notable rises in employment for the professional/business services and education/health services sectors.

(Source: Bloomberg)

I encourage workers and job seekers to identify in-demand skills and level up. Technical skills will be required at most jobs, whether it be Microsoft Office or some other program. Candidates who become experts with programs commonly used in-house or within the industry can increase the value they bring to their employer, which contributes to a company’s productivity. A skilled workforce has long-term benefits for both workers and companies across the U.S.

We will continue to see more apparent changes in the job landscape in certain industries and sectors, as companies consider keeping their workforce remote and in-person workers safe. With no end in sight for the pandemic and the restrictions it brings, more fluctuations are to come in the job market. In our recovery efforts, we must also focus on closing the racial divide to create an equal and diverse workforce.

The unemployment crisis caused by the COVID-19 pandemic continues to disproportionately affect women and minorities in the workforce. According to the Bureau of Labor Statistics, unemployment rates for women (10.5%), Asian (12%), Hispanic/Latino (12.9%) and Black/African American (14.6%) are higher than the rates for men (9.4%), Whites (9.2%) and the July 2020 national rate (10.2%). In addition to diverse hiring initiatives, companies and individuals need to explore opportunities to up-skill or re-skill because that benefits both in the long run; it’s up to all of us. If a diverse workforce is not cultivated, companies risk missing out on profit and creativity.

While the job market appears uncertain, it’s important to remember that hope is not lost. The pandemic created opportunities by way of new jobs that include virus testers, contact tracers, video platform support specialists, and plexiglass makers and installers, as well as an increase in demand for skills in e-commerce and other sectors. The world of contingent work continues to grow, and this type of work is beneficial for both companies and workers. Job seekers considering entering a new industry likely have transferrable skills; assess current skills and compare to a job’s desired skills to determine the opportunities that are a good fit.

The pandemic forced a lot of change and brought a lot of uncertainty. It’s not business as usual, but we will continue to pivot and progress forward. While many things are out of our control, we have the power to choose positivity and optimism to brave the new world where we live and work.