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July sees job losses, portending a potential rough patch for employers
['Kathryn Moody', 'Senior Editor']
HR Dive - Latest News
Employment numbers for June and May were also revised downward by a total of 103,000 jobs, indicating a wider slowdown than previously reported.
And while the unemployment rate fell, it did so due to a drop in the labor participation rate — driven by a perception that there are not many opportunities available right now, economists said.
The prime-age labor force participation rate rose after a stark decline in June, however, an “encouraging” sign, Andrew Flowers, chief economist at Appcast, said in a statement.
But headwinds, including inflation and high energy costs, may continue to compress the labor market, Cory Stahle, senior economist for the Indeed Hiring Lab, said in a statement.
“Don’t put too much stock in a single report, but don’t ignore the fact that the plane is starting to shake as the labor market looks to be entering a rough patch,” Stahle said.