Labor market statistics show tourism and business services thriving but mining and logging lagging – St George News

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ST. GEORGE- The U.S. labor market has been on a good path to recovery in recent months, shaking off most of the economic effects caused by the COVID-19 pandemic.

In April 2020, unemployment figures in the United States soared to more than 14.7%, the highest on record. Today, nearly two years into the pandemic, the labor market is in turbulent waters. Overcoming the Great Resignation, which saw record numbers of employees leave their jobs en masse for most of 2021, and the outcry over the Omicron variant.

In January 2022, the US Bureau of Labor Statistics reported about 467,000 jobs added for the month and 431,000 in March 2022, slightly below 460,000. Even though fewer nonfarm payrolls were added for March, the unemployment rate declined to a remarkable 3.6%, gradually approaching pre-pandemic levels of 3.5%.

While some employers have gone on a hiring spree, seeking to attract the right talent by offering higher wages, better medical care and other benefits, it’s clear that some industries are outnumbering their counterparts. high in recent hires.

Tourism, hospitality, retail, trade and transportation have been hardest hit throughout the pandemic and subsequent shutdowns. But these are among the industries that have now shown signs of full recovery, even surpassing pre-pandemic levels.

Unfortunately, not all industries share the same job outlook, with government-related roles, financial services and information still seeing lower numbers of new hires, even though the labor market is ripe with job seekers. young and enthusiastic jobs.

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So who won and who lagged in today’s job market?

Trade, transport and public services

Trade, transportation and utilities dominate as the most active hiring sector. The increasing prevalence of e-commerce and online shopping is leading to an increase in new hires. Looking at numbers provided by the US Bureau of Labor Statistics, this sector, on average, hired more than 28,417 employees from January to March.

Growing demand for warehouse workers, couriers, packers, and messengers is likely driving the positive and healthy job growth in this sector.

Professional and business services

Professional, scientific and technical services, management, business, administration and waste management constitute the second largest and most active sector of the American labor market.

Current figures indicate that professional and business services hired 22,000 new employees between December 2021 and March 2022. March had its biggest hiring month, with more than 22,116 jobs added.

The rise could be due to large companies and multinationals adjusting their benefits, attracting exciting talent and replacing some employees who recently retired.

Leisure and hospitality

During the pandemic, recreation, hospitality, tourism, and services accounted for about 93% of all American jobs lost. Even though many restrictions have been lifted until recently, this sector still lacks about 1.53 million jobs between current employees and pre-pandemic levels.

The latest data shows that in March 2022, the sector created around 15,509 new jobs. Additionally, the accommodation industry itself added about 23,000 jobs in February, much better than some experts had predicted.

Even though the sector accounted for more than 179,000 jobs in February, it is still down 9% from pre-pandemic levels.

The economic shock to the leisure and hospitality sector is among the many reasons why job growth has begun to level off.

Even though the sector is showing signs of a healthy recovery, there are still many vacancies and many positions remain vacant, thanks to the pandemic layoffs.

Construction

The latest reports indicate that the construction sector added around 19,000 jobs in March, only 4,000 more than in February 2020. The slow recovery has seen unemployment in the sector now close to 7.63 million in April 2022.

Fortunately, all is not bleak, as its current unemployment rate of 6.0% for April 2022 is a significant improvement from the 8.6% recorded in January 2022.

Even though construction performs better in terms of employment as we go through the year, there is still plenty of room for growth and opportunity. But overall, compared to other booming industries such as services, trade and transportation, construction may still need to create more jobs to catch up.

Mining and logging

Mining and logging is a sector that is struggling to meet rising operating costs and retain many employees – even before the pandemic. Overall, things do not look positive, with a change in employment of -53.14% between 2011 and 2020.

In addition, average annual wage changes have also been relatively small, with the mining sector recording a difference of 0.5% since spring 2020, a marginal amount compared to the 18.4% recorded in hospitality and leisure. Industries such as agriculture, fishing, hunting and construction saw average wage changes above the 4% threshold..

Even though some companies are now looking to rapidly increase salaries and wages for workers in the mining, forestry and geological sectors, it is perhaps important to note that the monetary compensation still does not outweigh the physical and emotional toll that these jobs have on workers.

In an article published by National Public Radio in 2021, an interview with a former gold and silver miner shows how taxed the mining sector is and how day-to-day work activities weigh on some.

But more than that, the NPR article, backed by data from the Bureau of Labor Statistics, also reveals a more pressing issue. About 20% of employees in the mining industry are currently aged 55 and over, while the median age of the average employee is 42. The sector is struggling to retain its employees, but hiring them is becoming a major challenge.

With the aging of employees and the imminent retirement of many employees in a few years, the mining sector could see a major reform in the next few years.

Looking forward

Between the transition from 2020 to 2021, the labor market has already seen major improvements. Looking ahead, we could see unemployment numbers finally surpass pre-pandemic levels as more employers seek to actively hire and retain the right set of workers.

Additionally, the rising cost of living and inflation hitting record highs could push more workers into better-paying jobs as they re-enter the workforce.

It could be a turbulent year for industries struggling to keep up with sectors that have fully recovered from the pandemic.

Written by VALUEWALK, via Wealth of Geeks Network, for The Associated Press.

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