Employment Update

April 2025

The American employment landscape is constantly changing. Keep up-to-date with the most recent trends with our monthly Employment Landscape Overview. Figures and statistics sourced from the Bureau of Labor Statistics and the American Staffing Association.

  • Acara Icon Workforce

    Unemployment Remained the Same - 4.2%

    The unemployment rate was unchanged at ​4.2 percent in April and has remained in a narrow range of 4.0 percent to 4.2 percent since May 2024. The number of unemployed people, at ​7.2 million, changed little in April. ​

  • Acara Icon briefcase

    Long-term unemployed increased

    In April, the number of long-term unemployed (those jobless for 27 weeks or more) increased by​179,000 to 1.7 million. The long-term unemployed accounted for 23.5 percent of all unemployed people.​

  • noun worker 7521322 EA0029

    Labor force participation had a minor increase​

    Both the labor force participation rate, ​at 62.6 percent, and the employment-population ratio, at 60.0 percent, changed little in April. These measures have shown little change over the year. ​

  • Acara Icon earnings

    Average hourly earnings increased by $0.06

    In April, average hourly earnings for all employees on private nonfarm payrolls rose by 6 cents, or 0.2 percent, to $36.06. Over the past 12 months, average hourly earnings have increased by 3.8 percent. In April, average hourly earnings of private-sector production and nonsupervisory employees rose by 10 cents, or 0.3 percent, to $31.06.

  • Acara Icon Rejected

    Number of people working part time for economic reasons decreased from 4.8M​

    The number of people employed part time for economic reasons, at 4.7 million, changed little in April. These individuals would have preferred full-time employment but were working part-time because their hours had been reduced or they were unable to find full-time jobs.

  • Icon showing outlines of a home, dollar sign, and a plant

    People not in the labor force who currently want a job decreased from last month​

    In April, the number of people not in the labor force who currently want a job was little changed at 5.7 million. These individuals were not counted as unemployed because they were not actively looking for work during the 4 weeks preceding the survey or were unavailable to take a job.

  • Acara Icon temp

    Temp penetration rate did not change​

    Temporary help employment was 1.59% of total nonfarm employment in March.

  • Acara Icon people circles

    Temp help jobs was stagnant​

    Temporary help jobs in April remained 4.6%, seasonally adjusted, from last month​.

  • Acara Icon payroll

    Nonfarm payroll employment increased​

    Total nonfarm payroll employment increased by 177,000 in April, roughly in line with the average monthly gain of 152,000 over the prior 12 months.​

    Notable job gains occurred in ​

    Health Care (+51K)​
    Transportation (+14K)​
    Warehousing (+10k)

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Industry Trends – Youth Labor Market Trends: Warning Signs and Underlying Factors​

Acara summarizes the latest industry trends each month to keep you informed as you make decisions about the future of your business.

  • Recent data from the New York Federal Reserve indicates a concerning shift in the labor market for young, educated workers. While the overall job market appears stable, college graduates are experiencing unusually high unemployment rates and deteriorating conditions. This report examines the current trends, potential causes, and implications for the broader economy.

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    These trends represent a significant shift in the labor landscape for young professionals. While college education still provides value, its relative advantage in the job market appears to be changing. Whether these trends reflect short-term economic conditions, medium-term changes to education value, or long-term AI disruption remains uncertain, but they merit close monitoring by policymakers, educators, and business leaders.

  • Key Findings

    • Rising Youth Unemployment: Recent college graduates face an unusually high 5.8% unemployment rate, with even elite MBA graduates struggling to find work
    • “Recent-Grad Gap”: For the first time in four decades, young college graduates have a higher unemployment rate than the overall workforce
    • Post-Pandemic Recovery Challenges: The labor market for young people never fully recovered from COVID-19 disruptions or even the 2008 Great Recession effects
    • Declining Tech Opportunities: Job openings in software development and IT operations have plunged, with software programming job postings on Indeed declining by over 50% since 2022Changing College ROI: Since 2010, the lifetime-earnings gap between college and high-school graduates has stopped widening​​
    • Decreasing Degree Requirements: The share of online job postings seeking workers with college degrees has declined
    • Potential AI Impact: Entry-level white-collar positions traditionally filled by young graduates may be vulnerable to AI automation, particularly in paralegal work, consulting, and software programming
    • Economic Uncertainty: Businesses focused on short-term profit margins appear less willing to invest in entry-level workers who require training

View the Monthly Canada Employment Update (Releasing May 9th)

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