Last Friday’s release of the July jobs report by the Labor Department yielded some important statistics on the state of the economy in addition to many conflicting assessments by experts. To sort through the noise, as an employer, here’s the most important piece of information you need to know:
- From January until today, the unemployment rate has fallen from 7.9% to 7.4%. As company financials continue to improve, and more jobs are added to the economy, the unemployment rate will continue to decline.
“Though at a quick glance, this change may not seem momentous, this decline does signify that the economy is improving, companies are performing better, and as a result, an increasing number of professionals are finding jobs,” says Glenn Bernstein, Partner and President of The Execu|Search Group’s Temporary/Consulting division. “This will eventually translate into a tighter labor market where it will become much more difficult and competitive for organizations to find qualified candidates to fill their newly created or vacant positions.”
To prepare for this tighter labor market, Glenn advises employers to be strategic about hiring by thinking long-term. “Whether you know you’ll be ready to ramp up staffing in the 3rd quarter, or know you’ll need to prepare for your busy season by hiring x number of new employees, now is the time to start thinking about it,” explains Glenn. “Today, you know there is an ample amount of highly skilled professionals available for employment, which will allow you to be more selective and to take more time in making a decision.”
As a result, if you’re doing well and expect to start hiring in the near future, start meeting with people today – you never know what your applicant pool will look like later in the year, so why not take advantage of it today, while it’s swimming with talent?