Jobs Report for June Surpasses Expectations

U.S. News & World Report (07/08/22) Smart, Tim

The job market surprised to the upside in June, with employers adding new jobs well above estimates, according to the U.S. Department of Labor. Employers defied rising interest rates and fears of a recession. Staffing firms are still looking for new employees, according to Richard Wahlquist, president and chief executive officer of the American Staffing Association. Wahlquist said the organization’s staffing index hit an all-time high in June. Even as employers acknowledge the possibility of a recession on the horizon, “Companies are trying to fill those talent benches now,” he said, adding that demand for permanent workers is especially high.

“Hiring confidence remains strong for now as employers navigate tension between two narratives about the economy,” said Becky Frankiewicz, ManpowerGroup chief commercial officer and president, North America. “Fears of a possible recession stoked by inflation and an aggressive Fed are eclipsed by the simple reality that employers can’t hire fast enough to meet demand. ”Even though some economic data, notably housing and spending on long-lived goods, are showing an economy that is slowing down, the labor market has remained strong even if it has cooled slightly from the pace of earlier this year.”