Online Job Demand Rises in June; Both Total Ads and New Ads Reach New Monthly Record Highs
From today's Conference Board report on online labor demand:
"Online advertised vacancies rose 232,000 in June to 4,947,100, according to the Conference Board's Help Wanted OnLine (HWOL) Index. Following little growth in the first two months of the second quarter, June closed out the quarter with a strong gain. The Supply/Demand rate stands at 2.7 unemployed for every vacancy.
“Online labor demand in the first half of 2012 increased by an average of 104,000 per month, but about one-third of both the States and the 100 largest metro areas are still below their pre-recession highs for labor demand,” said June Shelp, Vice President at The Conference Board. “As of June, almost half of the occupational groups have Supply/Demand rates at or below 2.0. However, most of these are in the professional categories, such as business and finance, healthcare professionals, and management. Although we’ve seen improvement, other categories like construction, building and grounds maintenance, and personal care are still struggling with high Supply/Demand rates.
Other highlights include:
1. All 20 of the largest metro areas posted gains in labor demand in June.
2. Eight of the 20 largest metro areas have supply/demand rates below 2, indicating that there are fewer than two unemployed workers for every online advertised vacancy.
MP: Both total online job vacancies (4.94 million) and new ads (3.16 million) are now well above their pre-recession levels (see chart above) and both set new monthly record highs in June. June's 232,000 monthly increase in online vacancies follows a 246,000 increase in March, bringing the total increase over the last four months to 524,000, the largest four-month increase in online advertised jobs since early 2007.
The Supply/Demand ratio has been below 3.0 for the last four months in a row for the first time since the fall of 2008, more than three years ago. Today's Conference Board report provides more evidence that the labor market is gradually recovering, and the sharp increase in online job vacancies over the last four months forecasts increased hiring activity in the coming months.