"The Index's decline in January was likely due to aspects of seasonality that continued over from the previous month as well as a slowing U.S. economy," said Jesse Harriott, Vice President of Research at Monster Worldwide. "The swift, recent actions by the Federal Reserve and White House to enact fiscal and monetary measures designed to stimulate the broader economy are encouraging signs that could help reassure employers and consumers that an economic downturn may be brief."
Online Demand in Mining Industry Increases in January while all other Industry Categories Decline
Nearly all industry categories tracked by the Index registered lower online demand in January, with only the mining industry showing an increase of three points. Meanwhile, online job demand in the arts, entertainment, and recreation; and accommodation and food services industries dipped sharply in January, falling 26 and 20 points respectively, suggesting that lower consumer confidence and household spending has made employers in the hospitality industry hesitant to expand operations. At the same time, online opportunities in the retail trade industry fell 12 points in January, possibly a reflection of slower-than-expected holiday sales and a weak forecast for 2008.
Online job availability in the finance and insurance industry dropped 21 points on the month, likely driven by slower demand in the banking sector due to the lingering crisis in the sub-prime mortgage industry. In fact, the finance and insurance industry has declined 28 percent over the past three months and 16 percent year-over-year. Online recruitment dipped for the fourth consecutive month in the transportation and warehousing industry, falling 13 points, however, the industry remains up nine percent year-over-year, due in part to higher demand in the shipping industry spurred by rising international trade.
Personal Care and Service Occupations Edge Higher in January, while all other Occupational Categories Decline
During January, personal care and service was the only occupational category to register an increase in online job demand, rising four points. Meanwhile, fewer opportunities were reported in arts, design, entertainment, sports, and media; and food preparation and serving related occupations, with both categories falling 13 and 12 points respectively. At the same time, demand for sales and related occupations also declined, falling nine points while the transportation and material moving category shed eight points and is now down 10 percent on the year. This downward trend is likely due in part to a lower demand for truck drivers as a result of surging oil prices and an overall slowing economy.
Opportunities for workers in business and financial operations declined sharply in January, and are down ten percent year-over-year, reflecting the continued impact of the sub-prime mortgage crisis. Meanwhile, healthcare support remained the Index's top growth category on a year-over-year basis, signaling strong demand for lower-skill healthcare workers, as well as other hospital support and office staff. The healthcare practitioners and technical category is also up significantly from a year ago, though demand has dropped substantially over the past three months. Overall, 16 of 23 occupational categories remain higher year-over-year.
Online Job Availability Declines in all Nine U.S. Census Bureau Regions in January
During January, online job availability decreased across all nine U.S. Census Bureau regions. Similar to December, the South Atlantic region again showed the mildest decline on the month. Among the regions, the West South Central continued to record the highest over-the-year growth, up 10 percent, while the Pacific dipped the most year-over-year, down eight percent. Forty-eight of the 50 states and the District of Columbia registered lower online job availability in January, while Maine and South Dakota were the only states showing increases. While all states are lower than three months ago, Arizona, California and Florida are down the most year-over-year.
Online Job Availability Declines in all 28 Major U.S. Metro Markets in January
During January, online recruitment activity fell in all of the 28 U.S. metro areas monitored by the Index, with the largest decreases noted in Kansas City, Boston, Detroit and Chicago. Meanwhile, Miami reported the most moderate decline, falling just two points on the month. Kansas City was driven lower by fewer opportunities in seasonal sectors, such as production and education occupations, as well as a marked slowdown in demand for computer and math (IT); and life, physical and social science professionals. At the same time, online recruitment in the Boston area eased due in large part to a decline in the transportation sector, and lower demand for business and financial operations; as well as sales and related occupations. While Detroit was dragged down by a seasonal slump in blue-collar demand (construction, production) in January, white-collar occupations, such as management and the sciences, have declined the most year-over-year. Chicago also saw a sharp seasonal reduction in demand for manufacturing workers, but is seeing the most significant year-over-year declines in online job availability for sales and creative occupations.
On an annual basis, only 13 of the 28 markets tracked are showing increased online job availability. Houston, Pittsburgh and St. Louis remain the top growth markets while Baltimore, Orlando and Sacramento are down the most. Houston's top growth sector remains healthcare, followed by other strong areas reporting solid growth, such as management, education and transportation. Year-over-year growth in Pittsburgh is being fueled by sharply higher demand in the blue-collar segment, while St. Louis has been buoyed by increased opportunities for healthcare, social services and office and administrative support occupations.
