According to the most recent monthly jobs report, the seasonally adjusted Los Angeles unemployment rate was 7.4 percent in June, down from 8.2 percent for the same period last year. On a non-seasonally adjusted basis, 2,200 Los Angeles jobs were added during June.
The seasonally adjusted unemployment rate across the state of California decreased slightly to 6.3 percent in June. This is a drop of 1.2 percentage points from this time last year. In the same month, California added 22,900 jobs on a seasonally adjusted basis.
What does the decreasing Los Angeles unemployment rate mean for employers in the area?
“As unemployment numbers continue to decrease, employers need to be ready to act quickly and consult a reputable salary guide to make sure they’re offering competitive compensation,” says Brett Good, senior district president with Robert Half. He points out that skilled professionals who are in high demand often have multiple job offers, so moving aggressively once you’ve identified your ideal candidate is of utmost importance.
Also, when looking to hire additional staff, Good suggests throwing the net as wide as possible. Along with traditional hiring methods, consider implementing an employee referral program and using social media to identify skilled candidates. Specialized recruiters are also an excellent resource, as they can help employers locate passive seekers for Los Angeles jobs.
Employee retention is also key in this environment, Good says. As the competition increases for skilled professionals, employers need to look inside their organizations and assess existing employees’ compensation and benefit packages, as well as career satisfaction, to keep their top talent.
In terms of both recruitment and retention, Good notes employers should periodically re-evaluate their perks, and even go beyond traditional offerings. “Incentives such as parking and public transportation reimbursement, ride sharing programs, gym memberships and flexible hours can deter your staff and potential hires from entertaining other options,” says Good.
How is the Los Angeles unemployment rate affecting your hiring and retention plans? Let us know in the comments section.