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2022 Job Trends

Author: Liz Frome

Looking ahead, we believe 2022 will center on navigating the new normal and employees’ elevated power in this tight labor market. Those who succeed will be those companies who embrace the opportunities to rethink old ways of hiring, employee engagement and how business is done.

As long as we can stave off another big wave from Covid, here's what we should expect from the jobs market in the year ahead.

Expect strong job growth in 2022

Much of the growth should come from sectors that are still reopening, such as restaurants, hotels, entertainment, personal services and passenger transportation. These industries are relatively labor intensive, so further recovery will support strong job growth. Indeed, while overall employment may reach pre-pandemic levels by the end of 2022, barring a major new variant-driven Covid surge, it will remain deeply uneven sector by sector

Labor shortages and rapid wage growth will continue

As of November, there were no signs that ongoing labor shortages were easing. The unemployment rate is rapidly declining and may dip below 3.5% by the end of 2022, which would be one of the lowest rates in recorded history.

Remote work's impact may be bigger than expected

Omicron's emergence has contributed to a growing realization that the virus will maintain a significant presence in our lives for longer than expected. The new variant may delay the return to the office and push some companies to allow more remote work than previously planned, and in some cases permanently. That could lead to a larger-than-expected geographic labor market adjustment: Many Americans will relocate during 2022, thanks to the shift to remote work, leaving expensive housing markets in large cities for cheaper living elsewhere.

So reach out as The Job Shop would love to partner with you on your job search!

Have a wonderful holiday season and keep looking for your next career.

“If opportunity does not knock, build a door.”— Milton Berle

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