The Monster Employment Index declined 13 points in January, as a majority of industries, occupations, and markets noted a contraction in online job availability amid sustained uncertain economic conditions. Year-over-year, the Index is now down 26 percent, suggesting further deterioration in the labor market at the onset of the new year.

"The fact that employers have chosen to begin recruiting in 2009 on a cautious note is not surprising given the uncertain nature of the global economy,” said Jesse Harriott, senior vice president and chief knowledge officer at Monster Worldwide. "However, there are a few bright spots, including recruiting activity in Public Administration as well as in the Agricultural sector. Furthermore, online recruitment activity still remains higher than levels seen during 2003 after the last recession."

Public Administration and Agriculture, Forestry, Fishing and Hunting Industries Show Increased Online Job Demand in January

Public Administration and Agriculture, Forestry, Fishing and Hunting were the only two industry categories to register an increase in online job availability in January. The increase in the Public Administration sector, which rebounded after two consecutive months of decline, indicated that the government has stepped up recruiting efforts. There, however, seems to be a fundamental shift in the types of jobs on offer, with more temporary and contract jobs on the market now than in the past.

In contrast, the Arts, Entertainment, and Recreation industry plunged in January as scaled-back consumer spending exacted an increasingly heavy toll on the hiring of leisure-related workers. Meanwhile, the Finance and Insurance industry again posted a large decline in January as the current economic situation continued to weigh on the banking industry. Administrative/ Support also registered a record monthly decline.

Construction had a mild decline relative to the Index as a whole and, while the decline was small, it still indicated reduced job availability in an industry that has now experienced 18 consecutive months of month-over-month payroll shrinkage. Wholesale Trade and Transportation and Warehousing continued their downward trend reflecting that, with the lack of growth in wholesale orders and general consumption, both industries have stepped-down their capacity utilization.

On a year-over-year basis, Agriculture, Forestry, Fishing and Hunting was the Index’s fastest growing industry category, followed by Public Administration – the only other sector demonstrating an increase in demand over the year.

Online Job Opportunities for Farming, Fishing and Forestry Occupations rise in January

Farming, Fishing and Forestry was the only occupational category to register an increase in online job availability in January, as demand for all other occupational categories continued to be impacted by the economic recession.

Meanwhile, Healthcare Support occupations saw a small monthly decline, extending a four-month stretch of gradually tapered online demand. However, the healthcare industry’s relative resilience despite the recession was reflected in the way Healthcare Practitioners and Technical occupations nearly matched its year-ago level. Occupations in both Office and Administrative Support and Protective Service logged substantial declines in January. In fact, the Protective Service category, which seemed less impacted by economic conditions earlier in 2008, is now lower than any other time in the Index.

On a year-over-year basis, Farming, Fishing and Forestry led all categories in terms of annual growth followed by Military Specific, mirroring the labor market trends in the Public Sector as a whole.

Online Job Demand Dips in All Nine U.S. Census Bureau Regions in January

Online job availability fell in all nine U.S. Census Bureau regions in January. The East South Central region fell for the fourth consecutive month but to a lesser degree than the national average. New England registered the steepest rate of decline over the past three months, influenced heavily by the slowdown in demand in Massachusetts during the last quarter of 2008. The Pacific region registered the steepest annual decline. By contrast, Mountain had the most moderate decline in January and over the past three months, due in large part to Nevada’s online recruitment picking up during Q4 2008.

At the state level, Nevada and Alaska were the only two states that registered an increase in online job availability during January. West Virginia reported positive growth year-over-year.

All of the Top 28 Major U.S. Metro Markets register declines in January

There were fewer online job opportunities in all of the top 28 metro markets monitored by the Index. Sacramento and Denver registered the most moderate rate of decline. In contrast, Portland dropped the most among metro markets in the Index over the past three months reflecting slumping demand for construction, production, IT and creative occupations.

Year-over-year, Philadelphia registered the steepest decline and Seattle notched the smallest annual decline buoyed by solid hiring in healthcare, the sciences, IT, and creative occupations.