Job Market Trends Insights

Behind every opportunity is a relationship, and behind every relationship is a conversation. Networking is about building real connections that last and have the potential to help you find your next opportunity. Data shared by the University of Maryland’s Department of Economics indicates you won’t find 70% of available jobs on any site that posts open positions. Those positions are usually found on a company’s internal network, often by referral. In other words, relationships can make the difference between finding a job or not. That’s no surprise to me. Throughout my journey, from engineer to investor, relationships have been a constant driver of growth. Mentors, colleagues and peers have not only opened doors, but also challenged my thinking, sharpened my skills and inspired my vision. Here’s what I have learned: - Be curious: Ask questions that show you care about people’s stories. - Be intentional: Connect with purpose, not just for your own gain. - Be consistent: Follow up, follow through and add value where you can. Networking isn’t a one-time event. It requires maintaining ongoing relationships rooted in trust and genuine interest in other people’s lives. Whether you’re just starting out on your professional journey or deep into your field, relationships are what power careers.

I’m going to be brutally honest with you. Because I know this will help you in your career. When you are looking for a job, you have probably heard this a million times: Networking will help you land job offers. And, it's true. But, as someone who has received over 500 messages from job seekers, I need to say this: A lot of people are approaching networking the wrong way. Networking isn’t just about sending a message to a stranger and asking them for a job. It’s not just about sending a message to an influencer asking to “pick their brain.” It’s about building a RELATIONSHIP with someone: You do that by… -Finding people who are RELEVANT to your career interests  -Reading someone’s LinkedIn profile and asking questions about their specific background  -Commenting on their posts  -Thinking of ways you can support them 99 percent of people don’t do this. You can stand out in the job search by implementing these strategies.

Cracks are emerging in labor market stability. The labor market is weakening, reflecting a combination of government spending freezes, uncertainty over tariffs and the direct effect of higher input costs on manufacturing employment. The pace of hiring and quits was still well below the 2019 levels in the Job Openings and Labor Turnover Survey in April. That leaves little margin for error if layoffs pick up. The threat to inflation due to tariffs will keep the Federal Reserve sidelined, but the trade-off of that decision will get harder in the months to come. ➡️ Tepid 139,000 payroll increase, with most gains in healthcare and leisure ➡️Federal payrolls saw a drop, largely due to retirements and a freeze on seasonal hires ➡️Manufacturing shed 8,000 jobs due to parts shortages and higher input costs from tariffs ➡️Unemployment rate held at 4.2%, but the participation rate fell to 62.4% ➡️Household employment dropped by 696,000 and the number of newly unemployed surged #PolicyinMotion

This chart is not a sign of a healthy labor market. The latest data show that almost 2 million people continued to claim unemployment benefits in the last week of May, the most since November 2021. The effects of uncertainty are starting to bite. These seasonally adjusted numbers from the Bureau of Labor Statistics describe a labor market where finding a job is tougher than usual at this time of year. New graduates at all levels – high school, college, and above – are entering the labor market at a precarious time. With very little churn, they could be looking for a long time. The trend in jobless claims also helps to explain the Consumer Price Index figures we saw this week. Prices for cars were down, and inflation in housing was under control. Most likely, people are putting off big purchases because they're worried about their incomes. We'll probably see more signs of rising unemployment in the next jobs report, arriving a few weeks from now. This will also reduce demand among consumers. The question is whether their caution will be enough to offset the inflationary forces unleashed by tariffs and the current administration's apparent goal of devaluing the dollar. My guess is that it won't, and we'll see higher inflation later this year. If I'm wrong, it will probably mean that the labor market has gotten much worse. Hopefully, we won't see both of those things happening... but either one is already bad enough. #joblessclaims #labormarket #economy

I wanted to build on Paul Berger’s recent reporting at The Wall Street Journal regarding some factories in the USA continuing to experience struggles with attracting enough workers (https://lnkd.in/gySArCFr) by sharing the most recent Census Bureau data from the Quarterly Survey of Plant Capacity Utilization for Q3 2024 regarding the proportion of plants in the USA citing insufficient supply of labor as a key constraint limiting their output. One chart and one table. Thoughts:   •The chart shows the proportion of plants across all manufacturing sectors citing insufficient labor/labor skills as a crimp on capacity utilization. In 2024, those readings have been around 20%, which is comparable to levels we saw in 2018 and 2019. In comparison, that figure was 10% in 2014. The Federal Reserve has research showing the 20% figure also held in the 1990s (when data on plant capacity was collected only on an annual basis), and it was as low as 5% in 2009 (https://lnkd.in/grsA9n4k). •The table shows the proportion of plants by 3-digit NAICS sector citing labor shortages in Q3 2024 versus Q3 2021 (the highest reading across all manufacturing at 46.3%). The most affected sectors are primary metals; fabricated metals; paper; furniture; textiles; electrical equipment, appliances, & components; and transportation equipment. Plastic and rubber product plants like the one interviewed for the story are right around the national average across all manufacturing. •The table makes clear how much labor shortages have abated across most sectors; the one exception where labor shortages are worse is petroleum & coal products. We also see some sectors like electrical equipment, appliances, & components haven’t seen that much of a change. This sector makes sense given strong demand for electrical equipment due to the AI computing boom (e.g., https://lnkd.in/gzBV5bWt). Implication: while labor shortages at U.S. factors have eased tremendously since the tightest conditions observed in 2021 and 2022, despite manufacturing output having fallen for roughly 10 quarters, we continue to see plants citing labor shortages at levels that were double what we saw a decade ago. This suggests that manufacturing firms may struggle to respond promptly to demand increases when they next materialize relative to a decade ago. #supplychain #supplychainmanagement #manufacturing #economics #freight #trucking 

Where's #hybrid work headed in 2025? Andy Jassy started the latest #RTO push. Elon's driving for the same in the Federal workforce, saying the quiet part out loud: get people to quit. That return-to-past attitude (kudos Francis Saele) creates opportunity for other organizations. In 2025, we'll see growing gaps between firms who've invested in #flexible ways of working versus those who are trying to solve complex business challenges through simplistic policy pronouncements. Leaders have already shifted from where to how we work -- is your organization keeping up? Five key trends that will drive success (or failure) of flexible work in 2025: 1️⃣ Talent Advantage: Investors in flexible work will be quiet magnets happily plucking talent from the loud voices who are braying that employees “aren’t really working.” 2️⃣ Outcomes not Attendance: More firms are (finally) investing in outcomes-driven management, resulting in a more level playing field and improved business results. 3️⃣ Time-Based Advantage. Time matters more than place; core hours for distributed teams and focus time for everyone unlocks productivity and quality. 4️⃣ Co-located vs Distributed. There's no one-size-fits-all; leaders understand and support the differences between teams who are co-located vs spread out. 5️⃣ Flex Winners become Gen AI Leaders. Adapting to new ways of working requires experimentation, guidelines, support, focus on outcomes ... and trust. What's your take? Will #hybrid work continue to take the lead? What's going to drive success in workplace #flexibility in 2025? 👉 Read on, my latest MIT Sloan Management Review column linked in comments. Thanks to Leslie Brokaw, Laurianne McLaughlin and Abbie Lundberg! #FutureOfWork #Leadership #HybridWork #RemoteWork #Productivity #GenAI #Engagement #Talent

I'm starting to stack a bunch of indicators on this; the labor markets continue to show signs of cooling. Data compiled by the Cleveland Fed show that Worker Adjustment and Retraining Notifications (WARN) are rising. WARN notices are advance notifications that some employers must provide to their employees and local governments before a large layoff or plant closing. They are typically filed 60 days before the expected layoff event. As a result, WARN notices can be thought of as a leading indicator of unemployment. The latest news is not especially encouraging. WARN notices jumped to 25,950 in May, the highest level since August 2023. While that might not seem *that* bad, it is worth noting that the hiring rate is somewhat weaker today than it was back then. Thus, it will be more challenging for these soon to be laid off people to cycle into new jobs. Expect to see the unemployment rate rise this summer. Take a look at the chart in the comments. https://lnkd.in/e8stMrTk

The Microsoft and LinkedIn 2024 Work Trend Index Annual Report is out, and unsurprisingly, AI is rapidly transforming the global workforce. Based on a survey of 31,000 people across 31 countries, here are the highlights, and what it means for education. Key Highlights: - AI usage has more than doubled in the last 6 months, with 75% of global knowledge workers reporting using GenAI tools. - 79% of leaders agree their company needs to adopt AI to stay competitive, but 60% worry their organization lacks a plan and vision to implement it. - 78% of AI users are bringing their own AI tools to work (BYOAI), cutting across all generations. - Leaders say they would not hire someone without AI skills (66%) and would prefer a less experienced candidate with AI skills over a more experienced one without them (71%). - AI power users are experimenting frequently with AI, getting support and encouragement from leadership, and receiving tailored AI training. They are seeing significant benefits in productivity, creativity, and job satisfaction. What does it mean for education? - Experience with AI is becoming a key hiring criteria, in part due to research that shows that GenAI use can significantly decrease skill gaps. - 77% of leaders say early-in-career talent will be given greater responsibilities due to AI. This has major implications for how schools and universities prepare students for the job market. - Only 39% of people who use AI at work have received AI training from their company, and only 25% of companies plan to offer training on generative AI this year. This gap between need for training and availability is similarly playing out in schools and systems right now. - As AI reshapes work, the skills required for jobs are projected to change significantly. Educational institutions will need to adapt curricula to focus on the uniquely human skills that will be most valuable in an AI-enabled work world, such as creativity, critical thinking, and relationship building. The rapid rise of AI is transforming the workplace and the job market and the entire education ecosystem has an essential role to play in equipping students and workers with the AI skills and aptitudes that are and will be most in-demand. For the full report, visit: https://lnkd.in/eyfSRzNj AI for Education #aiforeducation #aieducation #durableskills #GenAI #AIliteracy

𝗜𝘀 𝗬𝗼𝘂𝗿 𝗝𝗼𝗯 𝗦𝗲𝗮𝗿𝗰𝗵 𝗗𝗿𝗮𝗶𝗻𝗶𝗻𝗴 𝗬𝗼𝘂𝗿 𝗧𝗶𝗺𝗲 𝗮𝗻𝗱 𝗘𝗻𝗲𝗿𝗴𝘆 𝘄𝗶𝘁𝗵 𝗟𝗶𝘁𝘁𝗹𝗲 𝘁𝗼 𝗦𝗵𝗼𝘄 𝗳𝗼𝗿 𝗜𝘁? The hidden cost of relying on traditional job applications is more significant than you might think. You're investing precious time and energy only to face: • Endless rejections from automated systems filtering out your resume. • Getting lost in a sea of applicants without ever hearing back. • Missing out on job opportunities that never even make it to job boards. 𝗢𝘃𝗲𝗿𝗮𝗹𝗹 𝗶𝗺𝗽𝗮𝗰𝘁: You're wasting valuable resources by putting all your hope in a broken process that isn't designed to work in your favor. There's a different way. It's not easy, but it's doable. Consider this: • 𝗕𝘂𝗶𝗹𝗱𝗶𝗻𝗴 𝗿𝗲𝗹𝗮𝘁𝗶𝗼𝗻𝘀𝗵𝗶𝗽𝘀 with people in your target industry gets you closer to real opportunities. • 𝗦𝘁𝗿𝗮𝘁𝗲𝗴𝗶𝗰 𝗻𝗲𝘁𝘄𝗼𝗿𝗸𝗶𝗻𝗴 bypasses the resume pile. • Personal referrals dramatically increase your chances of landing interviews. It's not about perfecting your resume for ATS systems. It's about creating direct connections with decision-makers. A successful job search is built through consistent networking and personalized outreach. I've taught 100+ job seekers how to skip the application pile and get interviews through referrals. 𝗙𝗼𝗿 𝗲𝘅𝗮𝗺𝗽𝗹𝗲, 𝗼𝗻𝗲 𝗼𝗳 𝗺𝘆 𝗰𝗹𝗶𝗲𝗻𝘁𝘀 𝘄𝗮𝘀 𝘀𝘁𝘂𝗰𝗸 𝗶𝗻 𝘁𝗵𝗲 𝗲𝗻𝗱𝗹𝗲𝘀𝘀 𝗮𝗽𝗽𝗹𝗶𝗰𝗮𝘁𝗶𝗼𝗻 𝗹𝗼𝗼𝗽 𝗳𝗼𝗿 𝟴+ 𝗺𝗼𝗻𝘁𝗵𝘀. 𝗔𝗳𝘁𝗲𝗿 𝗳𝗼𝗰𝘂𝘀𝗶𝗻𝗴 𝗼𝗻 𝗻𝗲𝘁𝘄𝗼𝗿𝗸𝗶𝗻𝗴 𝗮𝗻𝗱 𝗯𝘂𝗶𝗹𝗱𝗶𝗻𝗴 𝗴𝗲𝗻𝘂𝗶𝗻𝗲 𝗰𝗼𝗻𝗻𝗲𝗰𝘁𝗶𝗼𝗻𝘀, 𝘁𝗵𝗲𝘆 𝗹𝗮𝗻𝗱𝗲𝗱 𝗮𝗻 𝗶𝗻𝘁𝗲𝗿𝘃𝗶𝗲𝘄—𝗮𝗻𝗱 𝘂𝗹𝘁𝗶𝗺𝗮𝘁𝗲𝗹𝘆 𝗮 𝗷𝗼𝗯 𝗼𝗳𝗳𝗲𝗿—𝘄𝗶𝘁𝗵𝗶𝗻 𝟱 𝘄𝗲𝗲𝗸𝘀 𝗲𝗮𝗿𝗹𝗶𝗲𝗿 𝗶𝗻 𝟮𝟬𝟮𝟰. So, what's one step you're taking today to build your network instead of applying aimlessly? Share your strategies in the comments below!