The Workweek: A Round-Up of Labor Market Links for the Week Ending 7/07/17
Welcome back to The Workweek, the Indeed Hiring Lab’s round-up of the latest research, news, and perspectives that made us think deeply or differently about the labor market this week. It’s your guide to the most important new insights about work.
Here are our picks for this week:
Let the Good Times Roll—For Recruiters
If there’s one group of people who understand a tight labor market more than economists, it’s recruiters. As potential hires get scarce, it becomes more difficult for recruiters to find talent and for employers to keep staff. The ratio of unemployed job seekers to job openings is now about one to one, a sixth of its peak in 2009, so the pickings are slim. Meanwhile, pay is growing more rapidly for job switchers. That combined with the wealth of opportunities has led to a rising rate of job quitting. In the world of recruiting, this is a double-edged sword: Employers can more easily poach talent, but they’re more likely to lose some of their own as well. [Bloomberg]
The Retraining Program You’ve Never Heard of
Yes, the job market may be tight, but not all workers are benefiting. As globalization and technological progress diminish the demand for certain skills, many people are left with limited opportunities for quality jobs. That gives retraining programs like Trade Adjustment Assistance (TAA) a renewed importance. TAA has been in existence since 1962, yet a slow and bureaucratic application process and poor attempts to measure its impact have hampered the program and kept it from reaching its full potential. [The Economist]
Work Hard, Play Hard? Nah, Just Play Hard
Apparently, video games have become so good, they may be keeping some young men out of work. Researchers analyzed the American Time Use Survey to understand why young men were spending less time working. Between 2004 and 2015, all groups under study, including younger men, younger women, older men and older women, passed more time on leisure activities. But it was younger men who experienced the largest increase—2.3 more hours per week—and they were the only group to spend more time playing video games. The researchers concluded that improvements to video games since 2004 explain half the increase in leisure time for this population. [NBER] and [NYT]
Skilled EU Workers in the UK Say ‘I’m Outta Here’ Following Brexit
The newest Brexit-related concern for UK employers is the loss of skilled talent. Office of National Statistics data shows that workers in the UK from the other 14 original EU member countries are more likely to be highly skilled than UK citizens. But, for the first time since 2012, the number of EU nationals looking for work in the UK has fallen. What’s more, several recent surveys found that about 50% of skilled EU workers are planning to leave the UK in the near future. Indeed economist Mariano Mamertino found evidence of this drop in EU job seeker interest immediately following the Brexit vote last June. [Financial Times]
Female Tech Entrepreneurs Talk About Silicon Valley Sexism
Silicon Valley has a well-deserved reputation for creating a less-than-hospitable environment for women. Many female tech entrepreneurs have stories about unfair and inappropriate treatment based on their gender. Startups are necessary for a healthy and dynamic labor market, especially given that entrepreneurship has been on the decline for the past few decades. So how can America reignite the entrepreneurial spirit? One strategy is to boost access and improve the experience of women entrepreneurs. [NYT]
Valerie Rodden is an Economic Research Analyst for the Hiring Lab. She received her B.S. in economics from the George Washington University.