According to the most recent monthly jobs report released by the New York State Department of Labor, the seasonally adjusted New York City unemployment rate dropped in July by 0.4 percentage points, coming in at 5.7 percent. This is the lowest New York City unemployment rate since August 2008. In spite of this dip in unemployment, 4,000 New York City jobs were lost in July, on a non-seasonally adjusted basis.
The monthly jobs report also said that across the state 19,300 nonfarm jobs were added in July on a seasonally adjusted basis. In addition, New York’s seasonally adjusted unemployment rate came in at 5.4 percent for the same month, the state’s lowest since 2008. Between May and July, the Empire State added 95,300 private sector jobs — the largest three-month jobs gain on record.
What does this mean for employers looking to staff New York City jobs?
The steady falloff in the New York City unemployment rate creates challenges for employers, as the demand for talent outweighs the supply.
“Supply and demand have shifted even further in the last six months, as more clients have increased their hiring activity on both the permanent and temporary side,” notes Dawn Fay, Robert Half district president. “Candidates now have multiple options and therefore expect higher pay rates and salaries. Companies need to move faster and pay more to secure the best talent.”
Fay says internal audit and senior and staff accountants top the list of in-demand jobs in New York City. “Many companies are still working on becoming complaint with new rules and regulations especially in the financial services sector, which is fueling a lot of project work,” she adds. “Many firms also going through system upgrades that require project professionals to help implement.”
Employers need to continue to look at incentive packages, benefits and hiring bonuses to attract top talent, Fay says. “Those are still key elements in securing candidates with the skills and experience required for open positions.”
Fay also stresses the importance of evaluating retention plans in today’s job market. “It’s counterproductive to focus only on new hires,” states Fay. “In the current climate, employees are much more confident about exploring their options. It’s crucial employers check in with their key players to ensure they’re satisfied with all aspects of their jobs, including salaries, professional development and opportunities for advancement.”
How has the New York City jobs market affected your hiring and retention strategies? Let us know in the comments section.