June 2024 - National and Local Employment Update

Matt’s Take on Current Conditions: “Employers are fighting for employees on two fronts today: retention and recruitment. The data is clear that employees are open to new roles. As an employer you must expect that your best talent is being recruited by other companies and you have to be playing both offense and defense to grow the talent in your company.

Key Updates – National News Impacting Employment/Hiring

·???????? ” The lingering shortfall in labor force participation appears to be primarily driven by people age 55 and older, who ended up retiring early during the pandemic (and are unlikely to reenter the workforce). Whereas among 25- to 54-year-olds, the participation rate has actually slightly surpassed pre-pandemic levels.” (Morningstar)

·???????? The Congressional Budget Office expects the effects of the aging of the population to reduce the overall labor force participation rate from 62.7% in 2023 to 62.2% in 2027. (CBO)

·???????? Forecasters are seeing job gains in the current quarter at a rate of 200,000 per month. The projections for the annual-average level of nonfarm payroll employment suggests job gains at a monthly rate of 212,600 in 2024 and 140,600 in 2025. (Philadelphia Fed)

·???????? NABE is forecasting that employment growth to gradually slow through 2024 to 125,000 jobs per month in the fourth quarter of 2024. (NABE)

·???????? 75% of CEOs expect to increase wages by 3% or more over the next year, up from 72% in Q1. (Conference Board)

·???????? When thinking of the year ahead 56% of management have expressed a moderate to major concern about not having enough talent to fill roles. (LinkedIn & Microsoft)

·???????? On May 22, 2024, a group of businesses filed suit to block the U.S. Department of Labor (DOL) from implementing its Final Rule, which would substantially increase the minimum salary required for the “white collar” overtime exemptions under the Fair Labor Standards Act (FLSA) (NationalReview)

Local Data Impacting the Jobs/Employment Market

·???????? The Tampa/St. Pete/Clearwater area has the 14th highest inflation rate in the United States when compared over the last 2 months. (Walllethub)

·???????? As of April 2024, the Florida Labor Force Participation Rate sits at 59%. A drop of almost 1% since August of 2023 when it was 59.9%.? (Fred St.Louis)

·???????? Labor force growth in Florida will average 1.2% from 2024-2027, after growing 3.9% in 2022 and 2.7% in 2023.? (UCF Institute of Economic Forecasting)

·???????? In April of 2023 the Tampa MSA had an unemployment rate of 2.4%, in April of 2024 that has risen to 3.3%. Total nonagricultural employment grew by 1.6% YoY. (Florida Jobs)

Monthly Average Wages For The Tampa Bay Area

?Business Owners and Leaders:

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At PrideStaff, our mission is to deliver the value that "matters most" to our clients. Simply put, we custom tailor our services to you and your objectives. We want to help you, so feel free to contact us if you are struggling to hire, or keep, the talent in your business.

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https://www.pridestaff.com/hire-pridestaff/

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