News/Blog
Weekly Market Insight – Temporary Help Services, Monthly Change, Seasonally Adjusted
The loss of 5,600 temporary jobs in July was a troubling detail in the disappointing employment report released on Friday by the Bureau of Labor Statistics. Temp hiring had been strong since last fall, averaging 41,000 per month from October through June of this year. The decline is unsettling because temp hiring is viewed as a leading indicator of full-time job growth. As their order books increase coming out of a recession, companies hire temp workers to meet the growing work load until they are confident in the sustainability of the recovery, at which point they begin to add full-time positions. Conversely, as the economy weakens, temp workers are often the first to go. The decline in temp workers last month, the first since September, confirms that the labor market has weakened. For further information on the labor market and how it is likely to impact commercial real estate, please read the most recent posting of Building Knowledge, Grubb & Ellis’ blog, by clicking here.
-Bob Bach, Grubb & Ellis Senior Vice President, Chief Economist
