After storms and strikes decimated October’s job numbers, November brought a level of comfort and stability to the labor market. Exceeding expectations, employment expanded by a strong 227,000 jobs, according to the latest U.S. Bureau of Labor Statistics (BLS) jobs report.
“November’s job numbers were fueled by significant gains in the healthcare and leisure and hospitality sectors,” says Monster Economist Giacomo Santangelo. “Additionally, the return of workers from the Boeing strike and recovery efforts post-hurricanes likely contributed to this growth, so it’s safe to say that there may have been some ‘spillover’ effects from October’s distortions as well.”
Below, we shared our breakdown of these job numbers along with key takeaways to help employers plan for the months ahead.
Healthcare Leads the Way in Job Creation
For the second month in a row, healthcare led the way in hiring in the BLS monthly jobs report with gains of 54,000. More than that, the sector has led the way in job creation in 2024 with the creation of over 600,000 jobs — about a 7% increase from 2023.
Likewise, job postings on Monster continue to reflect the strong demand for healthcare workers. Active job postings for registered nurses remain #1 overall on site, while other top healthcare positions hiring include:
- Physical therapists (#4 overall)
- Critical care nurses (#5 overall)
- Licensed practical and licensed vocational nurses (#6 overall)
- Medical and health services managers (#9 overall)
So, what can healthcare employers do to keep this great momentum going into 2025? Or perhaps, what insights can employers hiring in other industries glean from healthcare providers? “Offering competitive compensation and benefits, such as higher salaries, sign-on bonuses, and comprehensive benefits packages has been crucial,” Santangelo says. “Additionally, flexible work arrangements, including flexible schedules, remote work options for administrative roles, and part-time opportunities, have broadened the appeal to a wider range of candidates. Employers have also invested in training and development, providing continuous education and professional development opportunities to upskill existing staff and attract new talent.”
Holidays Boost Leisure and Hospitality Employment
The final months of the year tend to keep the leisure and hospitality industry busy, busy, busy. Between holiday travel plans and parties, not to mention sporting events and entertainment, it truly is “the most wonderful time of year” for restaurants, hotels, and entertainment businesses. In terms of hiring, this certainly rang true in November with employment increasing by a strong 53,000 payrolls, about half of which was seen in food services and drinking places, according to the BLS monthly jobs report. Similarly on Monster, top jobs hiring within the sector included those for restaurant positions, such as cooks and food prep and serving workers, while candidate searches were focused on bartender and server positions.
“Seasonal hiring significantly influences employment in the leisure and hospitality sector, especially towards the years’ end,” Santangelo says. “November typically experiences a hiring surge due to the holiday season, as businesses prepare for increased consumer activity. The holiday season drives demand for dining out, travel, and entertainment, leading to a spike in temporary and part-time employment to accommodate the influx of customers.”
Looking ahead, easing inflation may cause employment within leisure and hospitality to continue to expand in 2025, even after the holiday rush. “As inflation pressures decrease, consumers are expected to have more disposable income, boosting spending on leisure activities, dining, and travel,” Santangelo says. “This increased consumer spending can drive demand for services within the sector, prompting businesses to hire more staff to meet this demand. Additionally, lower inflation can lead to more stable operating costs for businesses, allowing them to invest in expansion and workforce growth.”
Retail Jobs Outlook Might be a Grinch
Earlier this year, retailers like Macy’s, Target, and Bath & Body Works announced major holiday hiring plans, with overall projections estimating between 400,000 to 500,000 seasonal retail hires. Yet, retail payrolls seem to be lagging, at least in the BLS monthly jobs report. After showing little to no change over the past three months, retail job numbers declined by 28,000 in November.
Santangelo attributes a few possible causes for the decline in retail employment. “The shift towards e-commerce has continued to reduce the need for in-store staff as more consumers opt for online shopping,” he says. “Additionally, economic uncertainties and cautious consumer spending, possibly due to increased personal debt, have led retailers to scale back on hiring.”
On Monster, retailers are still hiring, albeit at a slower pace as the holiday season winds down, which is to be expected. Some of the top retail jobs hiring include those for:
- Retail salespersons
- Cashiers
- Merchandise displayers and window trimmers.
Good news for retailers hiring — “retail” was one of the top 10 jobs searched by candidates on Monster in November. Within the sector, candidates are focusing their job searches on sales, customer service, and cashier positions. Not to mention, on the holiday hiring front, a recent Monster survey showed that 34% of workers are looking for a second job this holiday season, with the majority (29%) preferring to work in retail.
Wage Growth Remains Stable Despite Economic Uncertainties
Average hourly earnings continued to rise at a steady pace in November. According to the BLS monthly jobs report, wages increased 0.4% in November or 4% over the past year. Meanwhile, inflation has subsided, currently at 2.6%, down from a rate of 3.2% last year.
“Wage growth has remained relatively stable over the past year, matching the growth rate from the previous year,” Santangelo says. “This stability suggests that while wages have been rising, they have not kept pace with inflation, which has moderated from its peak levels. The consistent wage growth reflects ongoing efforts by employers to attract and retain talent in a competitive labor market, despite economic uncertainties.”
Looking ahead to 2025, Santangelo says employee pay is expected to increase at a lower rate than we’ve seen in recent years, but should still reflect a positive trend. When it comes to wage growth, he says employers will likely focus on targeted pay raises driven more by performance and merit rather than by inflation.
Workers Expected to Return to the Office Soon
Since the onset of the Covid-19 pandemic over four years ago, cubicles and conference rooms have given way to home offices and video calls. While the idea of working from home was largely driven by necessity during the pandemic, over the years, it has become a way of life that many employees wish to maintain, even as health concerns have subsided. In fact, the ability to “work from home” is so desired, it has remained the #1 job searched on Monster since March 2020.
Employers, on the other hand, are continuing to gravitate towards a return to office. In fact, starting in January, Amazon will require employees to spend a full five-day week in office with Dell and many other employers planning to expand their in-office days in 2025 as well.
Given this disconnect between employees and employers, employers considering implementing RTO policies will also need to focus on strategies to attract and retain top talent. “Providing flexible work arrangements, such as allowing employees to choose their in-office days, can make the transition more appealing,” Santangelo says. “Clear communication about the benefits of in-person collaboration and how it supports career growth can also help in attracting candidates who might prefer remote work.”
Employers are Cautious Heading Into the New Year
Despite November’s solid job numbers, overall hiring trends show a deceleration in job growth. Santangelo says this, coupled with a rising unemployment rate of 4.2%, suggests employers are being more cautious and selective in their hiring, focusing on roles that directly contribute to productivity and growth, such as artificial intelligence, cybersecurity, and data analytics. Similarly, industries like healthcare, particularly in areas like telemedicine and predictive analytics, will see continued growth as well. Conversely, traditional retail jobs as well as office and administrative support roles may see declines due to the continued shift toward automation.
Looking ahead to 2025, Santangelo says, “We should not be surprised to see the job market continue its cooling trend. Monthly job growth is projected to slow down, with estimates suggesting it will fall to around 100,000 by early next year and potentially down to 50,000 by the end of 2025. While job creation will continue, it will be at a more moderate pace compared to the rapid growth seen in recent years. Layoffs may increase in certain sectors as companies adjust to economic conditions, but overall, the labor market is expected to remain relatively stable with a slight loosening as job growth decelerates.”
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 the latest hiring trends and insights from Monster Intelligence.
We’ll see you here again in January when we will release our next take on the monthly jobs report.