Job creation got off to a sleepy start in January, though Monster data suggests things may start to pick up this month.
According to the latest U.S. Bureau of Labor Statistics (BLS) jobs report, January kicked off the year with mild gains of 143,000 jobs, ending a two-month streak that averaged about double the job growth. Looking ahead, however, hiring on Monster appears to be gaining momentum — over the past month, the number of active job postings increased 8%, with 67% of employers anticipating hiring/filling roles this year. Meanwhile, the number of job searches on Monster saw a 21% jump, a positive sign for employers hiring in a tight labor market.
Below, we shared our breakdown of these job numbers along with key takeaways to help employers plan for the months ahead.
New Year, New Job
Among candidates, January tends to be one of the most popular months for job searching. With New Year’s Resolutions to “find a new job” freshly made, job search activity surged in the first seven days of the year, up 43% compared to the week prior. Over the month, job searches increased 21% in January.
While most New Year’s Resolutions are abandoned within the first month of the year, Monster data suggests this trend may not be quite as short-lived. According to Monster’s 2025 Work Watch report, an overwhelming 93% of workers said they plan to look for new employment in 2025.
Here’s where candidates are focusing their job searches on Monster in 2025 so far:
- Work from home
- Part-time
- Administrative assistant
- Data engineer
- Entry level
Healthcare Leads the Way in Job Creation
Healthcare continues to be a mainstay sector for job growth, leading the way in hiring in the BLS monthly jobs reports for the fourth consecutive month. With gains of 44,000 in January, hiring was primarily focused within hospitals, nursing and residential care facilities, and home health services.
Likewise, healthcare hiring continues to dominate Monster job boards. Active job postings for registered nurses remain #1 overall on site, while other top healthcare positions hiring include:
- Physical therapists (#4 overall)
- Licensed practical and licensed vocational nurses (#6 overall)
- Critical care nurses (#7 overall)
“This trend reflects the increasing need for healthcare services driven by the aging population, advancements in medical technology, and the ongoing emphasis on public health,” Santangelo says. “The consistent job growth in hospitals, nursing and residential care facilities, and home health services highlights the critical role these areas play in meeting the healthcare needs of the population.”
The Retail Sector is on a Hiring Spree
Following gains of 43,000 in December, retail employment continued to expand in the post-holiday season, growing by another 34,000 jobs in January. After seeing little net change in 2024, these two months of consecutive growth may be a positive sign for the sector in 2025. However, potential trade wars could affect this trajectory in the months to come.
Santangelo says, “The stabilization of economic conditions and a return to a more normal supply chain performance could further support growth in the retail sector throughout 2025, depending on what happens with U.S. trade policy under the new administration.”
Consistent Demand Driving Social Assistance Job Growth
The social assistance sector has been a steady provider of jobs over the past year, and the same appears true for 2025 so far. In line with its monthly average in 2024, social assistance added 22,000 jobs in January, according to the BLS monthly jobs report.
“The consistent demand for social services, driven by ongoing societal needs, such as aging populations, mental health support, and family services, ensures a steady requirement for workers in the sector,” Santangelo says.
Looking ahead, he says, “The sector’s ability to adapt to changing needs and leverage technology will be crucial. Furthermore, policy support and funding stability will be essential in maintaining job growth. As community needs evolve, the sector is likely to see continued demand for services, particularly in individual and family services, which have shown significant job gains.”
Tight Labor Market Fueling Wage Gains
While job gains were soft, wage growth remained strong in January amid a tight labor market. According to the BLS monthly jobs report, wages increased 17 cents (0.5%) in January, or 4.1% over the past 12 months.
“Structural changes in the economy, such as the shift towards higher-paying industries and the prevalence of remote work, have contributed to wage growth,” Santangelo says. “Employers are increasingly recognizing the importance of offering competitive wages to attract and retain talent, especially in sectors with high demand, such as healthcare.”
To improve recruiting processes and attract skilled workers in 2025, the majority (61%) of employers plan to include salary and company benefits, like flexible work schedules, in job descriptions.
Companies Rolling Back DEI Efforts
Over the past few months, a number of prominent companies, including Walmart, Meta, Amazon, and McDonalds, have begun to scale back or set aside diversity, equity and inclusion (DEI) efforts.
While this trend may align with certain legal or political pressures, Santangelo says it poses significant challenges for companies in maintaining a diverse and inclusive workforce, which is essential for fostering innovation and long-term success. Not to mention, these decisions may also have adverse effects on hiring and retention. Monster data shows that one in four candidates would not apply to a company that doesn’t have significant DEI policies. Likewise, one in four workers would consider leaving their current employer for one with a stronger focus on DEI.
With so many top names rolling back efforts, this may pose an opportunity for employers to stand apart from the competition by demonstrating a strong commitment to DEI. Especially when it comes to recruiting Gen Z and the next generation of talent in today’s tight labor market, focusing on DEI may help bolster recruitment and retention efforts for businesses in 2025.
Stay Tuned for the Next Monthly Jobs Report
Monster aims to provide employers with the insight needed to move forward. As you plan your hiring strategy over the next month, check out Monster’s 2025 Work Watch report for the latest hiring trends and insights.
We’ll see you here again in March when we will release our next take on the monthly jobs report.