Actalent Labor Market and Economy Report: A Look at Trends in October 2024

Executive Summary

Job Growth

The U.S. economy added 12,000 jobs in October. Employment continued to trend up in health care (+52,300) and government (+40,000). Two hurricanes made landfall in the southeast region between late September and early October, and there is a high likelihood that employment estimates were affected by these events. Data revisions will be noted in future reports.

Other industries Actalent supports experienced the following job growth and loss last month: aerospace and defense (+2,500), architecture and engineering (+3,500), automotive (-6,000), construction (+8,000), manufacturing (-46,000), scientific research and development (+400) and utilities (-1,700).

Unemployment and Labor Force Participation

The unemployment rate was unchanged at 4.1% between September and October. The labor force participation rate fell slightly from 62.7% to 62.6%.

Unemployment rates, specific to the industries Actalent supports, were as follows for October: hospitals (1.7%), utilities (1.6%), professional and technical services (3.2%), manufacturing (3.4%), and construction (3.7%). 

Among skilled labor categories Actalent sources talent for, unemployment in software-IT-mathematics was 2.8%; architecture and engineering was 2.0%; and sciences (life, physical and social) was 2.3%.

Inflation

The year-over-year inflation rate increased by 2.6% between October 2023 and October 2024, slightly above September’s reading of 2.4%. The Federal Reserve lowered interest rates by 25 basis points at their November meeting, addressing that inflation is moving in the right direction but remains somewhat elevated. The Fed noted that they are not on a preset course with interest rates, and they will determine future adjustments by carefully assessing "incoming data, the evolving outlook, and the balance of risks."

Wage Growth

Average hourly earnings increased by 4.0% between October 2023 and October 2024, the same as September. "Real" average hourly earnings (wages adjusted for inflation) increased by 1.4% between October 2023 and October 2024. In other words, average hourly earnings are keeping up with inflation, but consumers may still be feeling the pressure of higher prices.