October 2024 - National & Local Employment Update
Matt Becker
Strategic-Partner/Owner @ PrideStaff | Business Development, Staffing Solutions, Public Policy, and Economic Development, Community Engagement
Matt’s Take on Current Conditions: “With an unemployment rate in the Tampa area at 3.7% we are still at, or are very close to, full employment. When we look at the large corporations who will be hiring during the holidays, and the minimum wages they will be hiring at, pressure will continue to build on small businesses to match that wage level. If you are currently hiring below $19 an hour, retaining and hiring the best talent will be a significant challenge.”
Key Updates – National News Impacting Employment/Hiring
·?75% of companies report that some or all of the recent college graduates they hired were unsatisfactory; Hiring managers say recent college grads are unprepared for the workforce, can’t handle the workload, and are unprofessional. (Intelligent)
·?87% of Gen Z full-time workers feel they are underpaid. 60% report being unable to afford their basic needs on their current salary. (Resumetemplate)
·?We believe participation rates?within?many age groups will continue to rise, especially among the 55-plus age cohort. However, aging will outweigh the increase in participation rates,(my emphasis) meaning we expect the overall participation rate to slowly fall over the remainder of the forecast period. (Deloitte)
·?In August companies took an average of 43.3 days to fill positions. (Workable)
·?High participation and employment; persistent talent shortages for certain workers; in addition to 8.7 million new jobs added to payrolls since 2019, add evidence to the case that the US labor market sits at near full employment. (Conference Board)
·?Recent increases to wages that small business will be competing with:
Aldi – Hiring 13,000 employees at $18 or $23 depending on market and position (USA Today)
Bank of America – Raised its minimum wage to $24 an hour (Bank of America)
Amazon – Frontline fulfillment and transportation employees to receive a raise of $1.50 an hour, the average wage for these employees is now $22 an hour. (Retaildive)
Costco – Raised their lowest wage to $19.50 at the end of July. (SHRM)di – Hiring 13,000 employees at $18 or $23 depending on market and position (USA Today)
Local Data Impacting the Jobs/Employment Market
·??Last month the Tampa Bay MSA saw an increase of 8,600 employees, year over year the same area saw a growth of 24,200 employees. (FloridaJobs)
领英推荐
·??August annual year over year median pay increase for the Tampa Bay area was 4.8% (ADP)
·??29.5% of renters in the Tampa Bay area spend more than 50% of their paycheck on rent. (Axios)
Monthly Salary Ranges for Selected Occupations in the Tampa Bay MSA??
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Interim and Fractional CFO, Professor, Doctorial Student, Writer, and USAF Veteran.
1 个月Matt, Thank you for sharing these timely insights. It’s clear that national trends and local conditions are putting significant pressure on small businesses in the Tampa Bay area. I agree with your take on the challenges posed by large corporations raising wages. Competing with the likes of Aldi, Bank of America, and Costco will certainly make it tough for smaller businesses to attract top talent during the holiday season. The point about 75% of companies finding recent college graduates unprepared for the workforce also resonates. I've seen a rise in companies reaching out for training programs to address these skill gaps. Many businesses now realize the need to invest in development and onboarding initiatives to bring new hires up to speed, creating opportunities for targeted training solutions. I also share concerns about Gen Z feeling underpaid and the difficulty in retaining talent in this market. Offering flexible work options and targeted development programs could help smaller businesses differentiate themselves from larger employers. Thanks again for the comprehensive update! Best regards, Don