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

Executive Summary

Job Growth

The U.S. economy added 206,000 jobs in June. Notable job gains occurred in government (+70,000), healthcare (+48,600), social assistance (33,800) and construction (+27,000).

Other industries Actalent supports experienced the following job growth and loss last month: aerospace and defense (-500), architecture and engineering (+4,900), automotive (+5,900), manufacturing (-8,000), scientific research and development (+1,600), and utilities (+900).

Unemployment and Labor Force Participation

The unemployment rate increased from 4.0% in May to 4.1% in June, rising by 0.1% for the third month in a row. The labor force participation rate also increased by 0.1%, from 62.5% to 62.6%.

Unemployment rates, specific to the industries Actalent supports, were as follows for June: hospitals (1.7%), utilities (2.6%), professional and technical services (3.0%), manufacturing (2.8%), and construction (4.1%).

Among skilled labor categories Actalent sources talent for, unemployment in software-IT-mathematics was 3.0%; architecture and engineering was 1.3%; and sciences (life, physical and social) was 2.3%.

Inflation

The year-over-year inflation rate eased to 3.0% in June, down from 3.3% in May. The inflation rate has now slowed three consecutive months.

Wage Growth

Average hourly earnings increased 3.9% between June 2023 and June 2024. “Real" average hourly earnings (wages adjusted for inflation) increased 0.8% from June 2023 to June 2024. In other words, average hourly earnings are keeping up with inflation, although consumers may still be feeling the pressure of higher prices.