Number of job seekers jumps in July as more people expect job losses

The proportion of people looking for a job in the last four weeks rose to a new high: from 19.4% in July 2023 to 28.4% in July 2024, marking the highest level since March 2014. According to a report dated August 19 from the Center for Microeconomic Data at the Federal Reserve Bank of New York.

The proportion of people who think they could be unemployed in the next four months also reached a record high in July 2014. At the same time, both the expected probability of moving to a new employer and the expected probability of receiving an offer in the next four months increased.

“Satisfaction with wage compensation, benefits, and advancement opportunities at respondents’ current jobs deteriorated,” the authors write. in a statement.

According to a survey of around 1,000 respondents, 88% of those who were employed four months ago were still with the same employer, a record low since 2014 and down from 91.4% in July 2023. The rate of people switching employers also rose to 7.1% – the highest since 2014 – with the increase since 2023 largely driven by women.

However, job satisfaction with compensation, benefits, and promotions has declined compared to 2023, particularly among women, those without a college degree, and those with annual household incomes of less than $60,000.

The expected average annual salary over the next four months fell slightly from about $67,000 in 2023 to $65,000 in 2024 – but is still well above pre-pandemic levels, according to the report.

In addition, the average reservation wage, the lowest wage respondents would accept for a new job, rose from nearly $79,000 in 2023 to $81,000 in 2024, slightly below the record high of $81,822 in March 2024.

Employee morale increased in the first quarter of 2024, indicating a recovery after a steady decline over the last three quarters of 2023, according to a report by Eagle Hill Consulting. The recovery means workers may be less likely to quit their jobs.

Although Fluctuation rates have stabilized According to a Gallagher report, about half of employers reported they had a turnover rate of at least 15%. However, while employee retention continues to increase, employee experience and productivity may still need to improve, the report said.

So far in 2024, the leisure and hospitality industry has recorded the highest employee attrition rates in the USAfollowed by retail, transportation and utilities, according to a report from law firm Schmidt & Clark. Executives in industries with high turnover can evaluate factors that can lead to turnover, such as burnout, company culture, lack of advancement opportunities and concerns about compensation, the firm said.