June Jobs Report: 209K Jobs Added, Manufacturing and Engineering Contribute
June Jobs Report: 209K jobs added, manufacturing and engineering contribute +13k
Another 209k jobs were added and unemployment went down to 3.6% in June's Bureau of Labor Statistics Jobs Report. This came as a major surprise following ADPs reporting of 490k jobs added earlier in the week but was much more in line with analyst predictions of 240k job additions. Manufacturing added 7k jobs and engineering added another 6.3k more.
This marks the smallest total increase overall in more than two and a half years, perhaps a sign the labor market is cooling off as rising interest rates gradually weaken the economy. The softer employment report could mollify senior officials at the Federal Reserve, who want a slow in hiring and economic growth to help them bring down high inflation. Yet it might not be enough to forestall a further increase in interest rates. The Fed is widely expected to raise rates later this month as it seeks to restore inflation to pre-pandemic levels of 2% or less. Inflation has been stuck in the 4% to 5% range.
In terms of hiring, while worker shortages have largely ebbed, many industries, specifically STEM in manufacturing and engineering, are still experiencing a high number of jobs open versus workers to fill the positions challenge. Here's a look at key jobs report insights.
Key Engineering Jobs Report Insights
Total Jobs Added: +209k
Jobs Added in Professional, Scientific and Technical Sector: +23k
Jobs Added in Engineering: +6.3k
Jobs Added in Manufacturing: +7k
Promising Careers In Renewable Energy
There is a giant need for skilled and eager workers in the renewable energy field. The latest reports show there are more than 7.8 million jobs in energy in the U.S, with 255,000 jobs in solar energy and more than 120,000 jobs in wind energy. As the U.S. continues to double down on its effort to move to 90 percent zero-carbon power by 2035, a labor-intensive endeavor, analysts predict this could generate upwards of half a million jobs a year.
Skills needed for a career in renewable energy include technical knowledge, communication skills, natural curiosity, and motivation and drive. Understanding how a wind farm works or how solar panels are assembled can go a long way in helping start your career in renewable energy, however the field has pathways that do not necessarily include science. Those with skills in software engineering, marketing, business, management and more can all find lasting careers in green energy.
Growth Predictions in Engineering and Manufacturing
Overall employment in engineering occupations is projected to grow 4% from 2021 to 2031, about as fast as the average for all occupations, according to the U.S. Bureau of Labor Statistics. It estimates this increase will result in about 91,300 new jobs over the decade. Hundreds of thousands of jobs are also expected to come available from growth and replacement needs.
Major industries including manufacturing, oil and gas extraction and wholesale trade are seeing stability in the labor market with little changes in employment from April to May 2023. There are exciting opportunities available with 1.7 million job openings in Professional and Business Services, the sector that includes engineering, and 676,000 job openings in manufacturing in April.
Significant Investments in Manufacturing Jobs
Manufacturing jobs are making a comeback from the COVID-19 pandemic. Companies are making significant investments in numerous states in the U.S., creating thousands of jobs and opportunities for workers.
Automotive parts manufacturer NVH Korea announced in late June that it plans to establish a new facility in Locust Grove, Georgia, which will create more than 160 new jobs and bring a $72 million investment to Henry County. Congressmen in Maryland announced a $1.3 million investment for manufacturing and innovation in the state, supporting local small and medium-sized manufacturing businesses and creating job opportunities. In the solar industry, a new U.S. joint venture is investing $1.5 billion to boost American-made solar. The first phase plans to develop a solar module manufacturing facility in Colorado, creating 900 direct and 200 construction jobs. The second phase involves developing a factory in the southern part of the U.S. to produce solar ingots, cells and wafers, generating more than 1,500 direct and 1,000 construction jobs.
In order to support the growing workforce in these industries, colleges are making investments in training new talent. Southwestern Illinois College is building a $20 million manufacturing training academy to give students skills that can lead to high-paying jobs.
“These are living wage, raise a family, buy a house, get a nice truck kind of jobs,” said Brad Sparks, dean of Technical Education and Workforce Development at SWIC.
The median annual wage for the engineering sector was $79,840 in May 2021, which was higher than the median annual wage for all occupations of $45,760.
Accelerate Your Workforce or Career
As the industry continues to show growth, Progressive Recruitment is ready to connect the best engineering talent with the top renewable energy, oil & gas, power & utilities, and manufacturing companies in the U.S. Our consultants are up to date on the latest market trends, allowing us to offer truly in-depth solutions regarding the unique challenges that are facing your business or your career. Our team of Engineering recruitment consultants is equipped with extensive knowledge and is ready to accelerate your engineering career. Contact us today.