No one told the job market we're supposed to be heading toward a recession

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The job market shrugged off talk of a recession in June, adding 372,000 jobs, about 100,000 more than economists had expected. The unemployment rate remained at 3.6% for the fourth straight month, near a 50-year low.

In industries like professional and business services, manufacturing and leisure and hospitality, it still looks like boom times if the job market is any indication.

Manufacturers are dealing with a shift from purchases of physical goods to services but nonetheless added 29,000 jobs for the month. The leisure and hospitality sector — the beneficiary of a travel boom after an especially fallow period — added 67,000 positions.Companies have been dealing with labor shortages since the early going of the pandemic — and that challenge hasn't suddenly gone away.

"You can’t lay off what you were never able to hire," Lightcast senior economist Ron Hetrick said in a statement. "This may be an economic downturn in terms of GDP, but I don’t think you’re going to see the accompanying layoffs that go with it.” The strong job report "appears to make a mockery of claims the economy is heading into, let alone already in, a recession," Capital Economics reported Friday.More jobs than expected may give the Fed more reason to proceed with aggressive rate hikes, which could then trigger a contraction.

 

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Indeed, hiring was stronger than expected after all the recent headwinds (Ukraine, inflation, interest rate hikes, gas prices, BA.2,4,5). If this rate continues, in a little over a month, the US as a whole should recover to pre-pandemic jobs levels--some states slower.

Confidence at all-time low 🤷‍♂️

There was job growth in Q1 while GDP contracted.

GOPChairwoman GOP

Nobody can afford homes. What type of jobs are we adding? Low wage shitty jobs is not a flex.

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The Job Market Is Still ‘Red Hot' Despite Recession Fears, as the Great Resignation ContinuesEmployer demand for workers remains extremely high and layoffs are near historical lows, with how long it will remain a job seeker’s market still an open question Once COVID dropped off, employers naturally started hiring again.
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