June continued the trend of strong hiring with the U.S. Bureau of Labor Statistics reporting that total nonfarm payroll employment has risen by 372,000 in June. The unemployment rate remained at 3.6 percent.
Key takeaways from the Jobs Report:
- The most notable job gains occurred in professional and business services, leisure and hospitality, and health care.
- The latest jobs report solidifies an overall trend toward economic recovery: total nonfarm employment is down by is now down just 0.3 percent from its pre-pandemic level in February 2020.
- The private-sector recovery is even more impressive: employment has recovered the net job losses due to the pandemic and is 140,000 higher than in February 2020.
The Overall Economic Picture
Inflation continues to be top of mind as higher prices hit consumers in terms of groceries, travel and discretionary spending.
Recent attempts to raise interest rates to stem inflation will have fallout in the housing market and may push the economy into slowdown.
The most recent jobs report is encouraging for those concerned about recession as it shows that employers are not backing off of strong hiring at the moment. What that bodes for the economy is still unclear but it does offer a strong indication that employers are still confident about hiring.
Inside the Jobs Report
Here are the industry specific highlights:
- Employment in professional and business services increased by 74,000 in June. Biggest gains were chalked up to management of companies and enterprises (+12,000), computer systems design and related services (+10,000), office administrative services (+8,000), and scientific research and development services (+6,000). Employment in professional and business services is 880,000 higher than in February 2020.
- Leisure and hospitality continued a strong rebound by adding 67,000 jobs, especially in regards to food services and drinking places (+41,000). Employment in leisure and hospitality is still down by 1.3 million, or 7.8 percent, since February 2020.
- Employment in health care rose by 57,000 in June, including gains in ambulatory health care services (+28,000), hospitals (+21,000), and nursing and residential care facilities (+8,000). Employment in health care overall is below its February 2020 level by 176,000, or 1.1 percent.
- In June, transportation and warehousing added 36,000 jobs. Employment rose in warehousing and storage (+18,000) and air transportation (+8,000). Employment in transportation and warehousing is 759,000 above its February 2020 level.
- Employment in manufacturing increased by 29,000 in June and has returned to its February 2020 level.
- Information added 25,000 jobs in June, including a gain of 9,000 jobs in publishing industries, except Internet. Employment in information is 105,000 higher than in February 2020.
- In June, employment in social assistance rose by 21,000. Employment continued to trend up in child day care services (+11,000) and in individual and family services (+10,000). Employment in social assistance is down by 87,000, or 2.0 percent, since February 2020.
- Wholesale trade added 16,000 jobs in June, including 8,000 in nondurable goods. Employment in wholesale trade is down by 18,000, or 0.3 percent, since February 2020.
Catch Up With Previous Jobs Reports
- Strong growth in May
- Big month of growth in April
- March’s strong growth
- February’s blockbuster growth
- January’s strong growth despite Omicron
- Promising news for hospitality in December
- November’s mixed picture
- October’s robust gains
- A slower-than-expected report in September
- The summer‘s roaring recovery trajectory
- Better than expected growth in June, especially in travel
- Strong signs of recovery in May
- An anemic April jobs report
Edouard Thoumyre is a seasoned executive recruiter with over 17 years of experience in executive search, as the Founder and Managing Partner of ACCUR Recruiting Services. Specializing in the Consumer and Luxury Goods industries, he has a proven track record of placing senior level and C-level executives in family, private equity-backed, and Fortune 500 companies in the beauty, wine & spirits, watch & jewelry, home goods, and tobacco industries, among others. Edouard Thoumyre holds a master’s degree in Entrepreneurship from HEC Paris (#1 European Business School, Financial Times rankings) and a master’s degree in industrial engineering from Centrale Lille (a top 10 French engineering school). ACCUR Recruiting Services has been recognized as a Forbes Top 100 executive search firm since 2018.
Edouard Thoumyre and his firm, ACCUR Recruiting Services, have been featured in numerous publications such as WWD, Business Insider, Newsweek, CPG Specialist, Yahoo Finance, Nasdaq.com, Marketplace by NPR, Business of Fashion…