Troubling Employment News for Business Owners
Unemployment and job creation rates both low
If you’re having trouble finding employees for your cleaning and maintenance business, it may be because the U.S. unemployment rate was 3.8% in May, the lowest national unemployment rate since December 1969, the Washington Examiner reports. The rate fell from 3.9% in April.
Along with the low unemployment rate, the month also brought a low job creation rate. Although financial analysts expected private employers to add 100,000 to 250,000 jobs in May, that number was significantly lower at just 27,000 new jobs, the lowest monthly jobs number since March 2010, The Washington Post reports. In April, the private sector gained 271,000 jobs.
The job report also noted that small businesses with fewer than 50 employees lost 52,000 jobs in May. Franchises lost 4,800 jobs.
A low unemployment rate results in a shrinking employment pool that can make hiring and retaining employees more difficult. CMM reports that companies looking to keep their existing staff as well as attract new workers in a competitive job market will do well if they compensate workers fairly, offer perks such as bonuses and extra holidays, create a positive company culture, and encourage employee promotion and growth.