Summer's off to an expensive start — and other happenings in the world of work

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Catch up on headlines from the last 7 days.

• Inflation remained high in April, according to a key report from the Commerce Department. That adds to expectations that the Federal Reserve may keep interest rates high for longer. Americans are still feeling the sting of rising prices — read more about what that means for summer travel below.
• The White House and congressional Republicans reached a tentative deal to raise the government’s $31.4 trillion debt ceiling, just days before the country would run out of cash to pay its bills. The deal must now pass the House and Senate.
• New jobless claims rose by 4,000 last week, but remained near historic lows amid continued labor market resilience, according to new Labor Department data.
• Americans are concerned about retirement. Only 43% of non-retired Americans said they’ll have enough money to be comfortable when they stop working — the lowest number since 2012 — according to a new Gallup survey.?
• It’s cheaper to buy a home instead of renting in several cities these days, including Detroit, Philadelphia, Cleveland and Houston, according to Redfin. Meanwhile, however, rising interest rates continue to put a damper on mortgage demand across the country.
• There are now more women working in the U.S. than at any point in recent history. The proportion of women ages 25 to 54 who are employed or actively seeking work hit 77.5% in April, the highest level since the federal government began tracking labor-force participation since the 1940s.?
• Younger workers are increasingly living paycheck to paycheck, according to a recent survey from Deloitte. About half of those surveyed also reported they expect starting a family to “become harder or impossible.” The solution? Many are picking up side gigs.

Take a closer look at recent trending topics and engage with meaningful conversations happening on LinkedIn.

Why summer's already stinging

• This weekend kicked off the start of summer — and everyone is already trying to fit in their vacations. Expect the season to be busy and expensive. U.S. air travel hit pandemic-era highs last week, with Memorial Day weekend numbers projected to surpass those. Beyond that, Airlines for America forecasts there will be 257 million air travelers on U.S. airlines between June and August, a nearly 1% increase over 2019. But supply and staffing constraints mean fewer flights on larger planes — and a pricier plane ticket for passengers.
• “Lower travel budgets aren’t stopping people from prioritizing time with loved ones this summer,” Mike Daher, a transportation and hospitality consultant, commented. About 63% of Americans still intend to travel this summer despite rising costs, according to a recent Bankrate survey. “They are making trade-offs — more Americans will eat pizza in the Amalfi Coast, they just might not fly first-class to get there,” Daher continued. For those staying stateside, Bankrate found that more than a quarter of travelers plan to drive over flying as a way to stretch their wallets.
• That’s already happening. AAA anticipated 37 million Americans to drive at least 50 miles from home this Memorial Day weekend. That’s two million more than last year — and potentially the most people on the road for the holiday since 2000. The good news for those drivers? Gasoline prices have slid, with a gallon of regular gas now selling for an average of $3.50, compared to $4.60 in May 2022. For the most part, faster inflation means spending more once you get to where you’re going. Even the obligatory holiday barbeque is getting pricier. The price of a 32-ounce bottle of ketchup, for example, jumped 28% this past year, according to recent research.

When B-school pays off

• Is heading to business school worth the time and money, even in today’s uncertain job market? It depends. An MBA has long been a potential pathway to more interesting work, better pay and a larger professional network — but its career-accelerating power really comes down to what you want out of it.?
• The degree pays off for those looking to climb the corporate ladder, according to a new LinkedIn analysis. B-school alumni are more likely to secure a VP or director role within a decade of graduating — especially in the professional services and tech worlds — than those with just a bachelor’s degree. “I have finally seen the advantage of having the degree now that I sit at a different level within organizations,” Deann Butler, who completed her MBA in 2016, commented. “It took a while for me to really see the value.”?
• The analysis also established the most common jobs, industries and regions for graduates. Graduates are also clustering in large, coastal metro areas after landing jobs in financial services, professional services (which is dominated by consulting and accounting firms), tech or media. MBA graduates flocked to management roles in large numbers in 2022, with project manager emerging as the most common job for 2022 MBA graduates.

Where tech workers are seeking shelter

• The tech industry has seen over a whopping 191,000 job cuts so far in 2023. The turmoil means displaced tech workers are carving out new paths for themselves outside of the sector. Nearly two-thirds of displaced workers are venturing into new industries, according to new LinkedIn data.?
• The most common career switch involves pivoting into the professional services sector, which includes consulting and accounting firms. Other industries welcoming displaced workers include financial services, manufacturing and health care. Amy Rich, a career coach, noted that these change ups don’t actually mean massive career shifts for many displaced workers. “Software engineers remain software engineers and IT professionals remain IT professionals but the need is ubiquitous in every industry now, so they have incredible job mobility,” she commented. That job mobility sometimes means moving. The fastest-growing metros for displaced tech workers include Washington, D.C., Chicago, Austin and Salt Lake City.
• Those that are sticking around the tech industry amid layoffs are gravitating towards smaller companies and startups. “The tech slowdown can potentially give rise to exciting startups and entrepreneurial ventures,” Matthew Mroczkowski, a big tech account executive, commented. “Despite the initial challenges, the exposure to new people, teams and ideas can fuel future innovation.”

Get ready for the week by seeing what's coming up.

• Monday, May 29: Memorial Day
• Tuesday, May 30: The March edition of the S&P CoreLogic Case-Shiller National Home Price Index, which measures home prices across the country, will be released.
• Tuesday, May 30: The Conference Board will release its monthly Consumer Confidence Survey, which measures how optimistic Americans are about the economy.
• Wednesday, May 31: The Bureau of Labor Statistics will release the Job Openings and Labor Turnover survey for April, which measures job vacancies across industries.
• Wednesday, May 31: LinkedIn Senior Editor at Large George Anders will release his latest edition of Workforce Insights.
• Thursday, June 1: The U.S. Department of Labor will release initial jobless claims for the previous week. The report, a proxy for layoffs, tracks the number of people filing for unemployment benefits.
• Friday, June 2: The Bureau of Labor Statistics will release the May jobs report. The monthly release tracks the unemployment rate and how many jobs were added to the economy.