NATIONAL (CBS) — The job market remains strong but there are indications changes could be coming.
The U.S. Department of Labor says the economy added 390,000 jobs in May. That’s slightly better than economists expected, but it’s also the first time in a year monthly job gains have fallen below 400,000.
The unemployment rate stayed unchanged at 3.6%.
“We’re seeing so much robust hiring and it’s probably good news for workers too that employers are continuing to actually bring more people online,” says CBS News Business Analyst Jill Schlesinger.
One of those new jobs was for recent high school graduate Jacob Bradley. The Kentucky teen agreed
to work at a local plumbing company by signing a letter of intent, a ceremony usually reserved for high schoolers headed to college sports. “It’s just more of my style. I was never really one to be an accountant or sit down. I enjoy working with my hands a lot,” Bradley says.
The unusual move of having an employee sign a letter of intent shows what lengths companies are willing to go to find new workers. The latest data from the Department of Labor reveals there are a near record 11.4 million job openings. President Biden says it’s an indicator the economy remains strong.
“That stability puts us in a strong position to tackle what is clearly a problem, inflation,” the President said on Friday.
Ongoing inflation will likely impact the job market. The Federal Reserve is expected to keep driving up interest rates to ease price hikes, which will also slow down the economy. “This is actually consistent with an economy that is resetting and this reset means that the number of jobs created every month is going to slowly go down,” Schlesinger says.
Even with the drop, the overall job market is expected to remain strong in the coming months.