06Jun

We came across an interesting analysis of what the next 10 years of temporary employment may look like. It’s based on the biennial 10-year projections of the US Bureau of Labor Statistics.

The government’s outlook is that overall non-farm employment will grow by a somewhat anemic 5.6% through 2028. Temporary help services — temporary workers provided by staffing firms like us — will grow by 2.3%. These are projections, which, though based on all sorts of data and history, amount to best guesses.

When you drill down, as analyst Bruce Steinberg does, the projections become more useful and more reliable. For example, the BLS projects that temporary office and administrative jobs, which make up a significant percentage of all temporary help, will decline by 2028. It’s the only category other than the farming, fishing and forestry category to lose positions.

Why the decline? In a word, automation. In discussing the outlook for all office and administrative support occupations, the BLS says, “Technology is expected to substitute or supplant some functions that workers in office and administrative support occupations do.”

Truck drivers, and the laborers who move and handle goods by hand, taxi drivers and some others that make up the transportation and material moving occupations, are the single largest percentage of temp workers placed by agencies. It’s a category the government expects will still be the largest percentage of temp workers in 2028. That’s mostly due to the projected increase in laborers. Their numbers are expected to increase by 27,600 or 3.7%.

What’s curious about the government’s outlook is that it expects the country’s need for truck and other motor vehicle operators to also grow. We say curious because almost not a week goes by without news of more autonomous trucks being tested. Could be that the predictions of fleets of driverless trucks by 2028 might be a bit too optimistic.

At the top of the fastest growing temp jobs is an unexpected group – lawyers. Over the 10 years covered by the BLS and Steinberg’s report, temporary lawyer jobs will grow 15.7%. But that only amounts to an additional 1,200 more jobs, since the total temp lawyer workforce of employment agencies will total 8,600.

Besides covering the various temporary employment occupations, Steinberg also includes charts showing the jobs with the most growth (home health aides +36.6%, personal care aides +36.4% and software developers +25.6% are the top three) and those that will lose jobs (word processors and typists -33.8%; data entry -23.2% and postal workers and switchboard operators both down 23.8%).

It isn’t too hard to figure out what’s behind both the increases and decreases — automation and artificial intelligence. The jobs that can be automated will be. Those requiring a human touch and advanced cognitive skills, nurses, accountants, market analysts, health care workers, and cooks and chefs among them, will grow.

Photo by Dylan Gillis on Unsplash

[bdp_post_carousel]

Jun 6, 2023

Honor Martin Luther King, Jr. with a ‘Day On’

Today we honor the memory of civil rights leader Martin Luther King, Jr. Schools, financial markets, banks, government and many businesses will be closed. But, unlike in years past, because of COVID the nation will celebrate quietly. Parades and gatherings have been canceled with observances moved online.

MLK Day 2021 - blog.jpg

What hasn’t changed is the spirit of the day. MLK Day is the only federal holiday designated as a national day of service. It should be a “Day on, not a day off,” says AmeriCorps, which has led the day’s volunteer efforts since Congress first adopted the holiday.

Though in-person volunteer efforts are limited, AmeriCorps has dozens of COVID-safe suggestions for individuals, groups, businesses, and organizations. There’s also a search to find volunteer opportunities near where you are.

The work doesn’t have to be done today. But it can start today.

Photo by History in HD

[bdp_post_carousel]

Jun 6, 2023

Optimism Growing for an Improving Job Market

Optimism is growing that the worst of the pandemic business retrenchment is over and that job growth may be just around the corner.

The Conference Board last week said its Employment Trends Index increased in January for the ninth consecutive month.

At the same time, Chief Executive released its latest poll of chief executive officers showing their confidence in future business conditions continues to grow. It is now where it was in February last year, just before the global business shutdown. Out of a possible 10 points, the 300+ CEOs scored their optimism about business conditions in the coming months at 7.1, a 2-year high.

In addition, Chief Executive reported that “A growing number of business leaders now forecast growth in revenues and capital expenditures as well. Meanwhile, they rated their confidence in current business conditions ‘good,’ at 6.2 out of 10.”

CEO confidence - blog.jpg

The Conference Board’s Employment Index and its Leading Economic Index, released late last month, are both on an upswing, if a slow and uneven one. The LEI increased by 0.3% in December after improving by a more robust 0.9% in October and 0.7% in November.

“The US LEI’s slowing pace of increase in December suggests that US economic growth continues to moderate in the first quarter of 2021,” said Ataman Ozyildirim, senior director of economic research at The Conference Board.”Improvements in the US LEI were very broad-based among the leading indicators, except for rising initial claims for unemployment insurance and a mixed consumer outlook on business and economic conditions.”

The improvement in the Employment Trends Index has been far steadier and quicker. The index came in at 99.27 in January, a small .72 point improvement over December but a significant improvement from last spring when the index was just over 70. Still, the index is 10% lower than it was a year ago.

The Employment Trends Index is a leading composite index for employment, meaning it is an early indicator pointing to future job growth. “Turning points in the index indicate that a turning point in employment is about to occur in the coming months,” says The Conference Board. “The Employment Trends Index aggregates eight leading indicators of employment, each of which has proven accurate in its own area.”

Temp Staffing chart - blog.jpg

One of these, the number of workers employed by the staffing industry, has been a primary driver of improvement in the index, says Gad Levanon, head of The Conference Board Labor Markets Institute. “The Employment Trends Index has been increasing in recent months, with the largest contributing component being the number of jobs in the temporary help industry.”

According to data from the Bureau of Labor Statistics, there were 2.95 million workers employed by the staffing industry at the beginning of 2020. Following the government ordered COVID shutdown, the number dropped to 1.95 million in April. Now, the latest BLS report says the staffing industry employed 2.7 million in January.

Though Levanon cautions we should expect some uncertainty around job growth due to the risk of the emerging COVID variants, by spring he says, “We expect strong job growth to resume and continue throughout the remainder of the year.”

Photo by Corey Agopian on Unsplash

[bdp_post_carousel]