Hiring Trends for September 2024: Navigating Job Market Challenges

September Hiring Trends: Analyzing the Impact of Declining Job Openings

With the job market in flux, staying ahead of the curve is essential. With the latest data insights, discover how recent trends impact your hiring, business, and investment strategies.

At Aura, we translate workforce data into actionable insights, enabling businesses and decision-makers to adapt their strategies effectively. However, the latest revisions from the Bureau of Labor Statistics (BLS) have added complexity to the narrative. Recent job market revisions reveal that U.S. job growth over the past year was weaker than originally reported.

The BLS recently adjusted its employment figures, noting that the U.S. economy had 818,000 fewer jobs as of March 2024 than initially estimated, making it the largest job market revision since 2009. This revision lowered the average monthly job gain between April 2023 and March 2024 to 173,500, down from the earlier estimate of 242,000. The weaker-than-expected labor market data has broad implications for workforce planning, operational efficiency, and strategic decision-making.

These revisions offer a critical backdrop as we analyze the hiring trends in September. The following insights provide a deep dive into the job market, showing key movements across industries and geographies and the growing significance of remote work. The global hiring trends in August demonstrate significant regional differences, with EMEA showing growth while North America experienced a sharp decline. By understanding these hiring trends, businesses can position themselves to stay ahead of the curve in a job market that is more fragile than it appears on the surface.

The data analysis below is sourced from Aura's workforce analytics platform, which examines publicly available job postings and organizational information. We analyzed fresh job market data through the end of August, 2024. Try Aura today to incorporate these workforce insights into your business planning, due diligence, or investment analysis.

Global Hiring Trends: Regional Insights into September 2024

Graph - Global Hiring Trends

Global hiring trends showed regional disparities. North America saw a 9% drop in job postings, while LATAM experienced a notable 9% increase, reflecting a shift in hiring patterns. Different regions experienced varying trends in new job additions, with most regions seeing declines.

• North America witnessed a notable 9% drop in job postings, reflecting potential economic adjustments, especially in the technology and service industries.

• EMEA (Europe, Middle East, and Africa) had a 3% decline in new job postings. 

• APAC (Asia-Pacific) was essentially flat, showing a less than 1% decline, indicating general stability.

• LATAM (Latin America) was one of the few global bright spots, with new job postings up 9%. This, coupled with the rise in remote work, may suggest outsourced hiring within the region from North American companies.

State-Level Job Market Trends: September Declines in Focus

Graph - State Hiring Trends

The U.S. job market in August reflected varying performances across states, with several key regions experiencing significant declines in job postings. Recent data underscores a challenging landscape: the latest Job Openings and Labor Turnover Survey from the Labor Department reveals that job openings dropped to their lowest level in 3½ years in July, falling to 7.67 million—a significant drop from June and well below economists' expectations. Aura found that in August:

• California's 18% decline in job postings indicates a significant reduction in hiring, particularly affected by the technology sectors.

• Texas followed with a 13% decline, impacted by shifts in the energy and service sectors.

• New York had a smaller 5% decline in job postings, indicating a more resilient market than other major states. 

• Florida experienced a significant drop equaling California's, with an 18% reduction in new jobs.

It should be noted that these declines are the most significant month-over-month declines in the job market since we started tracking hiring trends.

Remote Work Trends: Growth Amidst Declining Job Postings

Graph - Remote Job Hiring Trends

Remote work continued its upward trajectory throughout August, growing its relevance even in a post-pandemic world. With this rise, it should be said that a strong company culture can attract candidates and enhance employee loyalty, even in remote settings. While some sectors have returned to in-person models, many industries continue to adopt remote work options:

• New remote job postings accounted for 6.5% of total jobs, reflecting continued demand for flexible work environments. In today’s competitive job market, companies must emphasize employer branding to attract and retain top talent, utilize skills-based hiring, and leverage tools to optimize talent management, particularly for remote work.

  

• Over the past six months, the volume of remote jobs grew steadily, especially in sectors such as Printing (+21%), Mental Healthcare (+16%), and Computer Software (+15%). These industries demonstrated the highest adaptability to remote working models. The pressure on recruiting teams to find qualified candidates has increased as job openings decrease, making it essential to refine recruitment processes.

• Sectors like Commercial Real Estate and Individual & Family Services saw declines in remote job postings, with 5% and 4% reductions, respectively. This could reflect these industries’ focus on in-person operations and hands-on service delivery.

Industry Hiring Trends: Key Insights for Strategic Workforce Planning

Graph - Industry Hiring Trends

The top industries by new job postings reveal the shifting dynamics across various sectors. This month, no major industries showed job posting growth. However, a handful of smaller industries, such as Legal Services, Supermarkets, and Newspapers, displayed positive hiring demand.

• Staffing and recruiting experienced a 23% decrease in new job postings. This suggests that while demand remains high, it might be stabilizing after a period of rapid growth, allowing recruiting teams to focus on strategic initiatives and effectively respond to changing hiring market conditions.

• Hospital & Healthcare also showed absolute strength, though postings were down by 14%. This may reflect operational adjustments in healthcare facilities post-pandemic.

• Retail saw one of the most significant drops, with job postings declining by 25%, likely mirroring broader economic headwinds and reduced consumer spending.

• IT & Services experienced a 14% decline, indicating a continued recalibration after a surge in tech hiring during the pandemic. Attracting top talent remains a priority for IT businesses, even in the face of declining job openings and increased competition.

• Human Resources dropped by 22%, reflecting organizational shifts toward streamlining operations and optimizing existing personnel. Retaining current employees has become just as important as finding new hires as companies look for ways to optimize their workforce amidst the job market decline.

Global Job Market Trends: Countries Facing Declines in Hiring

Graph - Country Hiring Trends

Globally, several countries experienced fluctuations in job postings throughout August. Companies must adapt their strategies to attract top talent in today's competitive job market.

The data reveals a broad pattern of job posting declines across several key global markets. Notably, countries like Sweden (-29%), the Netherlands (-24%), and Malaysia (-52%) experienced steep reductions, indicating significant slowdowns in hiring activity. Other regions, such as the United States (-10%), France (-9%), and Switzerland (-17%), also faced considerable drops, suggesting a widespread contraction in job opportunities. These declines likely reflect broader economic uncertainty and challenges within these labor markets, impacting employers and job seekers.

Though most countries saw declines, understanding talent acquisition trends is crucial, especially as we enter the tail end of Q3. It helps businesses align their hiring strategies with evolving workforce needs during their Q4 budgeting process. Among major economies and job markets:

• The United States saw a 10.2% decrease, continuing its trend of recalibrating job opportunities across major sectors like retail, technology and finance.

• Germany saw a modest 3.6% increase in job postings, signaling a small rebound in hiring after a slower period earlier in the year.

• Brazil showed a 0.88% increase, indicating steady but slow growth in its job market.

Actionable Workforce Insights: Navigating September Hiring Trends

Hiring trend analysis data from August provided critical insights into how different regions, industries, and job types are evolving. Staying ahead of these hiring trends is crucial as businesses and investors manage their businesses in September. From the rise of remote work to regional variations in job growth, Aura’s workforce intelligence platform can equip decision-makers with the real-time insights needed to navigate an increasingly complex hiring landscape.

Uncover actionable insights from September’s hiring trends. Schedule a demo of Aura’s workforce analytics to adapt your hiring strategies and gain a competitive edge.