US Business-to-Business Labor Market Update 2022 Q2
The Indeed Hiring Lab tracks employment trends in the Business-to-Business (B2B) vertical, analyzing the latest Indeed and Bureau of Labor Statistics data. We look at overall labor market trends, and then dive deeper into job postings trends in various B2B occupational categories, including Construction and Software Development jobs. Finally, on the job seeker side, we examine trends in labor force participation.
Indeed job postings
Overall employer demand for workers remains strong. As of April 8th Indeed job postings are 56.5% above their pre-pandemic baseline, but overall growth in labor demand has slowed in recent months.
B2B job postings
Job postings in the Business-to-Business vertical are slowing as well. Production & Manufacturing (104.2% above pre-pandemic baseline) and Construction job postings (+64.1%) leveled off so far this year, albeit above the trend for all job postings. Education & instruction job postings (+58%) flattened recently as well, although finally matching the pace of the overall labor market.
The overall slowdown in job postings extends to one of the fastest-growing job categories, Software Development (+122%). Postings for developers, as well as Insurance (+71.5%) and Banking & Finance (+93.3%) have leveled-off. However, demand remains strong as they continue to pace the overall labor market trend.
Labor force participation
In good news for recruiters, the labor supply concerns of 2021 continue to fade. The overall labor force participation rate didn’t move much last month, but the rate for prime-age workers ages 25 to 54 years old increased for a third consecutive month. This is a key labor market statistic and its nearing pre-pandemic levels points to bright prospects for overall labor supply.
For more labor market insights from the Indeed Hiring Lab, follow along on our blog at hiringlab.org.
Daniel Culbertson is an Outreach Economist at the Indeed Hiring Lab with a focus on the US labor market. Daniel previously specialized in regional analysis and forecasting as an economist with Moody’s Analytics and holds a M.A. in economics from the University of Delaware.