Job growth was decent last month. Not stunningly strong, but neither was it weak. The gain on a percentage basis over the last 3 months is 1.2%, a bit faster than underlying population growth of 1.0 percent. Employment was stable in the two most volatile sectors, manufacturing and construction. Unemployment was stable at 4.5 percent.
The number of net new jobs created in the economy was less than in some of the past peak months, but we’re probably growing about as fast as we can grow right now, given the low unemployment rate:
Many business leaders tell me that they are having trouble finding people to hire. One trucking company executive said that they have trucks sitting idle for lack of over-the-road truck drivers. At this point, labor supply is a bigger limiter than underlying economic activity.
Business Strategy Implications: Companies need to be creative to find the workers they need. (Read my "6 Six Steps to Hiring in a Tight Labor Market" blog post. If you are in one of the sectors with especially tight job market, such as health care, trucking or finance, then employee recruitment has to become one of your key strategic elements.