Has the US labor market has had its day? “Analytically, this expectation is based on a deceleration in GDP growth primarily caused by the end of the housing boom. It has been the main driver behind the increase in jobs for years. But more important is the fact that corporate profit growth should have peaked: input costs have soared, but pricing power did not. Therefore, companies are becoming less keen to hire,” according to HVB Group.

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Leading Indicators Point To Employment Slowdown
click for larger chart

Slowdown

Source:  HVB Group

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HVB Group further notes: “This is already reflected in some forward-looking employment indicators. Hiring plans are tending south as is the CEO confidence survey. This implies that CEOs will reduce new hires or even slash some of their headcount further. But the most striking warning signals are the help wanted index as well as temporary employment.”

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Quote of the Day

"He who knows others is wise. He who knows himself is enlightened." 
-Lao Tzu

Category: Data Analysis, Employment, Technical Analysis

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

3 Responses to “Chart of the Week: Leading Indicators Point To Employment Slowdown”

  1. John Navin says:

    “Hiring plans are tending south as is the CEO confidence survey. This implies that CEOs will reduce new hires or even slash some of their headcount further…”

    Or reduce the salary and perks of the CEO — always a good place to start.

  2. Bob A says:

    Higher fuel costs and interest rates don’t matter (Mr. Bush) ? Try telling that to Brunswick.

  3. John F. says:

    Since Direct Revenue is in the spyware business, it would seem only fair for aggreived Internet users to syndicate their employees’ home addresses, the schools their children attend, and the names of their pets. [Not even their business address seems readily available.]