September 2024 Jobs Report: Employers Add 254,000 Jobs

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The U.S. economy saw higher-than-expected jobs gains in September, with employers expanding payrolls by 254,000 positions. That figure far outpaces analysts’ forecasts of about 150,000 new jobs.

The September jobs report from the Bureau of Labor Statistics (BLS) also shows employers added 72,000 more positions than previously reported in July and August combined.

Unemployment rate edges down to 4.1%

The national unemployment rate last month was 4.1%, a slight decrease from August’s rate of 4.2%.

Meanwhile, the unemployment rate for college-degreed professionals who are 25 or older — the workers most highly sought-after by many employers — dropped to 2.3% in September. In August, the rate was 2.5%.

Private education and health services a top driver for September’s job growth

Employers in education and health services added 81,000 jobs last month. The leisure and hospitality industry also saw healthy gains, adding 78,000 positions.

These industries saw notable payroll expansion in September as well, according to the BLS:

Government: 31,000 jobs added

Construction: 25,000 jobs added

Professional and business services: 17,000 jobs added

Retail trade: 15,600 jobs added

Other industries reporting job gains last month include financial activities (+5,000), information (+4,000) and utilities (+3,400).

Job openings remain high — as do candidates’ expectations

Despite the overall cooling trend in the labor market in recent months, job openings in still exceed pre-pandemic highs, indicating continued pent-up demand for skilled talent. In its latest Job Openings and Labor Turnover Survey (JOLTS), the BLS reports there were 8 million open roles in the U.S. on the last business day of August. That figure is little changed from the 8.2 million openings reported in July.

Robert Half’s workplace research shows that organizations of all sizes are hiring for new roles in the second half of 2024, mostly to support company growth, but the hiring landscape remains challenging. Eighty-six percent of hiring managers report difficulty finding skilled talent, with three in 10 say it is very challenging.

Meanwhile, job seekers are maintaining high expectations around salary and work flexibility, despite signs of a softening market. The upshot is that employers must continue to act quickly to extend competitive, well-rounded offers to top hires — and be prepared to negotiate compensation packages.

Upskilling employees, especially in areas like AI, is one strategy that can help employers bridge skills deficiencies in their organization as they work to recruit in-demand talent for their teams. For priority projects that require more immediate access to specialized skills, employers may want to consider adopting a scalable talent model and engaging contract professionals.

Robert Half’s Salary Guide has numbers you can count on

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The Salary Guide From Robert Half covers hiring and compensation trends across seven professional fields: finance and accounting, technology, marketing and creative, legal, administrative and customer support, healthcare, and human resources.

Our annual Salary Guide features exclusive data and input from employers and workers, and from our recruiters who staff tens of thousands of jobs each year. It can be a valuable resource, whether you’re launching a new job search, actively hiring talent or developing a staffing strategy for your business.

Another resource to help you stay informed: Demand for Skilled Talent

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Robert Half’s Demand for Skilled Talent report offers detailed insight on trends in the hiring market, including companies’ hiring plans for the second half of 2024. Learn about the issues that keep managers up at night, three avoidable hiring mistakes, how employers are addressing skills gaps in their workforce and more.

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