Employement Trends
During economic recessions, employment data has become a very important economic indicator.
Increasing unemployment is a sign of decreasing consumer spending and economic slow down.
Here are some employment related indicators that are useful in assessing economic conditions:
1. Unemployment Rate (See Graph of Unemployment Rate)
Unemployment Rate leads economic downturn and lags economic recovery.
2. Weekly Earnings (See Graph of Weekly Earnings)
Higher Weekly Earnings bodes well for the economy.
3. Total Layoffs (See Graph of Total Layoffs)
Layoffs shows how much financial stress the corporations are facing. Increasing layoffs shows anticipation of decreasing profitability for businesses.
4. Total Quits (See Graph of Total Quits)
Total Quits are voluntary. An increase in total quits indicates a positive outlook for the job market and economy, and vice versa.
5. Total Job Openings (See Graph of Job Openings)
Total Job Openings is very sensitive to a corporation’s outlook for the future. A sharp decrease in job openings usually precedes a sharp increase in unemployment rate.