Last month's job report surprised a lot of people, including us. In May, the U.S. Labor Department reported an additional 339,000 new jobs. Despite the addition of those jobs, the unemployment rate increased slightly as more people began to seek employment.
It doesn't feel like it. We serve clients across the economic spectrum, and the number of people we assess for job-fit is down almost 30% from last year. At the same time, the Step One Survey™, an honesty and integrity tool, is up. The survey is used primarily for unskilled and entry-level jobs.
I looked at the DOL data, and it concurs with our internal numbers. The report shows the hospitality sector is adding jobs, but the roles that require extensive training or professional backgrounds are not increasing. Manufacturing and technology are shrinking. It appears that many of the new jobs are second jobs as hours are getting cut elsewhere.
This yoyo data is driving a lot of divergence in the economic outlook. On June 1, the Wall Street Journal shared survey data indicating small businesses planned to increase hiring. Two days later, the Journal headlined, "Get Ready for the Full-Employment Recession."
Avoid whiplash.
Our workforce is losing experience due to age and retirement. There are not enough new workers to fill the gap. Many GenZ workers are in less skilled roles as they enter the workforce. Like every generation before them, they will not stay there.
A lower quantity of new workers means fewer quality workers are available. Great workers tend to stay where they are doing a great job. Struggling workers are often the first ones to apply for a new one.
You must be able to tell the difference.
Hire for aptitude and raw talent. Assessment helps you understand GenZ candidates better than they know themselves and see if that job switcher has the right motives. It gives you the insight to hire and develop employees into roles where they thrive.
The PXT Select® is a premier tool to assess aptitude for job fit. It is helpful in every economic sector. It lets you hire and promote with better results and fewer mistakes. Let me share a couple of short success stories this week.
Learn how a rapidly expanding credit union adopted the PXT Select® to ensure they could hire, train, and keep the workforce necessary to meet their growth targets.
The process applies to any industry, practice, economic sector, and organization type. Check out how a hospital used our tool to improve nurses' hiring, placement, and retention.
Use the best tools to thrive. You can help employees discover their strengths and maintain a strong culture by keeping everyone connected. We can help you develop the skills, leaders, and teams you need to succeed.
Our assessments and surveys are world-class and statistically sound. Contact us, share your concerns, and see how we can help you. No charge, no obligation.