It’s November and it’s time to take a look at October’s labor insights for the hospitality industry, hopefully giving us a glimpse of the last couple of months of 2021.
Just like that, November’s here and we’re publishing another tantalizing report on hospitality employment! To be honest, things have stayed pretty steady this fall, but with the end of 2021 on the horizon and COVID-19 cases slowly on the decline once more, we could be in for a busier Winter. Typically, this time of year marks the beginning of a seasonal slow down in new jobs, but an increase in hospitality professionals looking for new work. Soon employers could find the relief they’ve been waiting for, but for now, the hiring market remains tight. So let’s get into it. Here’s a quick look at our data and the Bureau of Labor Statistics (BLS) Employment Situation Summary report for October.
Employer Activity
The number of jobs posted on Poached changed little from September only increasing by 0.06% in October — suggesting that hiring has started to plateau. While new jobs are still up significantly since before the pandemic, there has been a 19.8% decrease in new jobs on Poached over the last six months. While this decrease may loosen the belt on the competitive hiring market, it’s the slow rate at which workers are re-entering the industry that’s keeping things tight. Employers who are rethinking their business models to increase competitive perks and benefits in their positions will be the most successful as we move into winter.
The BLS Employment Situation Summary showed that employment in Leisure and Hospitality had significant gains in October. Employment in food services and drinking establishments rose by 119,000 and 23,000 in accommodations. This is actually a decent bump from September, where notable gains in Leisure and Hospitality mainly came from arts and entertainment. The numbers are still down 8.2% since before the pandemic. So we’re not out of the woods just yet.
Worker Activity
Luckily, worker activity has stayed steady throughout the fall. Over the course of six months, employment has been a roller coaster ride but, with the slow season moving upon us, this could change with a decent and steady increase — fingers crossed. Over the last six months, we’ve seen a 30.4% increase in filed applications on Poached — but there was a slight 3.6% decrease when comparing September to October. New resume creation was also down by 3.7% over the last six months, and 10% since September.
This number squares up with what the BLS had to say in their Employment Situation Summary. Since August, the unemployment rate has steadily decreased by 0.2% each month. October’s unemployment rate came in at 4.6% compared to 4.8% in September and is still 3.7% higher than pre-pandemic levels. Additionally, the overall labor force participation rate came in at 61.6% — unchanged from September’s rate. Workers are still waiting on the sidelines, but it’s better to have a steady labor force than no labor force at all.
Moving into winter will be interesting and challenging for the hospitality industry. Restaurants will likely continue to battle against competitive hiring markets, supply shortages, and increased consumer demand. But, there may be some positive twists and turns coming up. With the rollout of vaccine boosters, an increase in vaccine availability to younger age groups, and of course the typical seasonal bump in worker activity common in the winter — we could see the hiring market ease up. That wraps up our monthly industry insights! Till next time.