Office Employment Rises, But 2017 Growth Slows Versus 2016
The payrolls report for the last month of 2017 showed a modest deceleration in employment, as total private sector job growth at the establishment level rose by 146,000, well below the 239,000 upwardly-revised gain in November. Office employment grew by 32,000 on the month (Table 1 and Chart 1 on the following page), a disappointment given that over the past year, monthly growth had averaged 53,000. During 2017, private payrolls and office employment grew by 2.01 million and 621,000, respectively; in 2016, these figures were a higher 2.04 million and 710,000. The question as to whether companies are looking to slow their headcount growth or whether a pullback in hiring reflects companies’ inability to find qualified workers amid a tight labor market is apt to remain a major theme in 2018.