Temp Workers Account For Almost 20% of April’s 165K Job Growth

by on May 3, 2013, 7:02 am

Econ index April 2013Temp staffing had its strongest month in two years, adding 30,800 new jobs in April. That accounted for almost one-in-five of the new jobs added to the U.S. economy last month.

The U.S. Department of Labor this morning said that on a seasonally-adjusted basis, 165,000 new non-farm jobs were created last month. The unemployment rate also declined slightly to 7.5%, even as the size of the workforce ticked up slightly. (It is still lower than at any time in more than three decades.)

The government also adjusted up its initial numbers for both February and March, increasing the new job estimates by a combined 114,000. With the revisions, job growth in the first quarter totaled 618,000. That’s just slightly behind the 208,000 monthly average during all of last year.

The April job growth was better than analysts were expecting. Before the release in Washington, surveys of economists showed them expecting job growth to be in a range between about 125,000 and 155,000.

Temp employment in just the last two months has jumped by 56,300 jobs, according to the revised Labor Department numbers. Non-seasonally adjusted counts are even higher; 119,800 temp jobs were added in March and April.

In addition to the temp sector, April’s job growth came in several other areas:

  • Hospitality jobs took a big jump, adding 43,000 overall, with 37,900 of them at restaurants and bars;
  • Retail added 29,300 jobs, nearly half at general merchandise stores. Department stores added 7,900 new workers;
  • Health care jobs grew by 19,000;
  • Professional and Technical Services added 22,800 jobs. The category includes legal, accounting, computer professionals, architectural jobs, and management and consulting services.

Government and the goods-producing sector were the soft spots. Government at all levels lost 11,000 jobs; 8,000 came from the federal workforce. Construction was down 6,000 jobs and manufacturing was flat.

While the official unemployment rate declined during April, and is now .4 points lower than it was in January, by another measure, the so-called U-6 report, rose slightly to 13.9%. This report not only counts those who meet the official definition of unemployed, but also includes those working part-time because they can’t find other work, and those out of a job and looking for work, but who didn’t look during the April survey period.

Overall, those 13.9% translate into 21.9 million workers.

One other component of the government report economists watch as a sign of future employment development is the length of the average workweek. According to the report, it decreased by 0.2 hour to 34.4 hours. Within manufacturing, the workweek decreased by 0.1 hour to 40.7 hours, and overtime declined by 0.1 hour to 3.3 hours. The average workweek for production and nonsupervisory employees on private nonfarm payrolls decreased by 0.1 hour to 33.7 hours.

John has been writing about recruiting and employment for nearly a decade,and has worked in the field for almost twice as long. He traces his connection to the employment industry back to the beginning of the commercial Internet when he managed some of the earliest news oriented websites. These offered job boards, which became highly popular with users. John worked with agencies and large employers on job postings, resume search, and campaigns, before consulting with media companies on audience development and online advertising sales.
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How is the new Affordable Health Care Reform going to impact YOUR business??


How is the new Affordable Health Care Reform going to impact YOUR business?? 

If you have 50 or more employees THIS year, the impact to your company’s bottom line is going to be extremely powerful beginning Jan. 1, 2016.

Companies ARE NOT WAITING to find out what impact these penalties will have on their business.  The look back period in NOW.

At Etowah Employment, we’re already getting calls from our client base asking us to help them understand this legislation and to see where Etowah Employment can be helpful.  Our response to them is that we can legally help them remain under 50 employees without paying the per employee penalty to the government.

School Systems, Manufacturing plants, call centers, medical facilities, construction companies….everyone will be effected.

Call Etowah Employment now to discuss with our staff, strategies for your business that can be implemented right now to keep your employees under 50 and to avoid penalties with ObamaCare.


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New Government Jobs Proposal

On April 21st, 2010, posted in: Employer Blog, Human Resource News by


In January, the federal government unveiled a proposal to establish a $33 billion package of tax credits that would serve to encourage small businesses to hire more workers and increase wages. The proposal is part of a larger effort to spark a rosier trend in current unemployment rates throughout the country.

Under this proposed plan, businesses would receive a $5,000 tax credit for every additional new employee that they employ in 2010. The total amount of credit would be capped at $500,000 per business to prevent larger businesses from being eligible. Additionally, the proposal also calls for reimbursement in Social Security payroll taxes (up to the Social Security taxable maximum) to small businesses that they would otherwise pay on increases in payroll.

Should this plan be set in motion, your small business faces a decision: To hire or not to hire?

The answer might actually come in the form of another question: Do you need to?

While the proposed tax credit sounds appealing, if your small business is comfortably meeting demand or the current work load of employees is manageable, your business might not stand to benefit from the push to hire more workers. Don’t fix something that isn’t broken. Instead, consider focusing on maintaining and growing your customer base.

However, if you were considering hiring this year, this could be your incentive to seriously think about doing so. Or, if you see your small business growing in the near future, now may be the time to take things to the next level.

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