Progress, alterations, and shortcomings
The BLS “The Employment Situation— January 2014” report has revealed just 113,000 new jobs added to the United States economy—thousands less than expected by economists. After the December 2013 report showed only 75,000 jobs added, January is the second month in a row reporting drastically low hiring numbers. Surprisingly, the United States was reporting an average of 204,000 jobs added month over month from August
to November 2013.
Revisions to previous months paint an optimistic picture
The January report also revealed revisions to November and December data. An additional 1,000 jobs were added to December 2013, and 33,000 were added to November
2013. This makes the total number of jobs added in November 2013 a solid 274,000, the highest total since January 2012. These revisions are proof that despite a few roadblocks, the US economy is on the rise.
Forecast for economy ahead is uncertain
As mentioned in our previous report, many blame the Polar Vortex for the recent decline in employment numbers. However, the BLS has stated that, “In order for severe weather conditions to reduce the estimate of payroll employment, employees have to be off work without pay for the entire pay period.” Only time will tell, as new data and reports are the only way to see if this is truly the case. The unemployment rate dropped marginally in January, sitting currently at 6.6 percent. This number is the lowest since that of October 2008’s 6.5 percent unemployment rate.The past three months have shown a stead decline in the jobless rate, with each month dropping by 0.6 percent.
Positivity for Accounting & Finance
In the accounting and bookkeeping services sector, employment grew by 5,000. Parker + Lynch Senior Vice President, Trent Beekman, sat down with Accounting Today to discuss the growing sector.
“In the permanent placement side of our business, skilled finance and accounting people are still in a very high level of demand from our client base,” he said. “The demand we see shows there is not as much supply, which makes it a favorable candidate-based market. That’s continued to be pretty strong for the last 18 to 24 months.”
Despite disappointing unemployment reports, Parker + Lynch has seen its typical demand for help during audit, tax and budgeting season.
For more insights into the job market and the economy, please visit parkerlynch.com today.