There was an increase in average job postings in the US in February to 5.42 million, a 2.7% increase from January. The lowest number of job postings in the last six months was 5.22 million in December 2023, and we’ve started to see job posting numbers slowly increase since then. We will need a few more months of positive development before we can claim this as a sustainable recovery instead of a temporary uptick. We are still 10% below the 12-month average of 6.02 million and 3.7% below the six-month average of 5.62 million job postings. This shows that although there are small signs of job market recovery, with federal funds rates (5.25-5.5%) expected to drop in the second half of this year, we are probably not yet back to the levels we saw last year.
Unemployment nudged a little bit higher in February as well at 3.9%, however, it’s still at a historically low level. When it comes to inflation in February, there's no good news – the 12-month Consumer Price Index stood at 3.2% and core inflation was 3.8%, according to the US Bureau of Labor Statistics. Inflation remains well above the Fed’s target as volatile gasoline prices experienced a 3.8% increase in February and sticky shelter inflation rose 0.4% and stood at 5.7% on a 12-month basis.
Salary trends
When looking at the average advertised salaries in the US, there’s a positive trend. The average advertised salary in February 2024 was $51,994 or $25.00 per hour, up from $49,920 or $24.00 per hour in January, according to our data from the Claro platform. This represents a 4.1% increase. When compared to the six-month average advertised salary of $23.67 per hour, the average hourly salary in February 2024 is 5.3% higher. It’s important to note that our salary figures reflect the salary employers are currently proposing to new hires rather than the earnings of current employees.
Sector specific trends
Consumer staples
Starting with the Consumer Staples sector, there was a slight decrease in the index from 80.3 in January 2024 to 77.8 in February 2024. This sector has been experiencing a steady decline since September 2023, indicating a slowdown in hiring. The average advertised salary in February 2024 was $39,520 annually or $19.00 per hour, which is in line with the 12-month average. Some of the top companies hiring in this sector now include Kroger, Walgreens and Walmart.
Healthcare
In the Healthcare sector, there’s been a significant increase in the index from 62.3 in January 2024 to 71.1 in February 2024. This suggests a strong demand for healthcare professionals. The average advertised salary in February 2024 was $62,721 annually or $30.15 per hour, which is higher than the 12-month average of $57,329 annually or $27.56 per hour. CVS Health Corporation, Tenet Healthcare Corporation, and DaVita Inc. are among the top companies hiring in this sector.
Real estate
In the Real Estate sector, the index rose from 50.1 in January 2024 to 57.5 in February 2024. The average advertised salary in February 2024 was $65,000 annually or $31.25 per hour, which is slightly above the 12-month average of $62,735 annually or $30.16 per hour. Jones Lang LaSalle Incorporated, CBRE Group, Inc., and Five Star Senior Living are some of the companies hiring most in this sector.
Energy
The Energy sector saw a moderate increase in the index from 47.4 in January 2024 to 52.6 in February 2024. This sector has been fluctuating over the past year, reflecting the volatility in global energy markets. The average advertised salary in February 2024 was $66,446 annually or $31.95 per hour, which is slightly below the 12-month average of $69,584 annually or $33.45 per hour. Delek US Holdings, Inc., Halliburton Company, and Nov Inc. are among the top companies we see hiring now.
IT
Lastly, the IT sector saw a significant increase in the index from 37.8 in January 2024 to 42.4 in February 2024. This beaten-down sector has been on a steady rise since June 2023, reflecting the growing demand for IT professionals. The average advertised salary in February 2024 was $138,917 annually or $66.79 per hour, which is higher than the 12-month average of $131,072 annually or $63.02 per hour. Apple Inc., Intel Corporation, and Microsoft Corporation are some of the top companies hiring in this sector.
We continue to monitor the job market closely and it's clear that recovery is complex, with lots of moving parts, from industry-specific shifts to big-picture economic trends. At Claro Analytics, our mission is to delve into these changes and make things clearer for everyone.
