Although workers benefited from historic low unemployment rates, leading to higher wages as the pandemic waned, reality is setting in the job market.
Some economists credit the trend of higher unemployment rates and a lower number of positions available to the market for coming back into balance after frenzied hiring sprees and job jumping over the past couple of years, the Wall Street Journal reports.
However, there is still hope for employees. While wage growth has fallen, hitting 3.9% year-over-year last month, it is still higher than the 3% or so of the months before the pandemic. And the U.S. economy is still adding a solid number of jobs each month—206,000 in June—continuing an impressive 42 consecutive months of employment growth.
Another point that workers can take comfort in is that the layoff rate remains low, as many businesses want to retain the employees they struggled to find during the labor shortage.
Comments