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4 Reasons Employment Numbers Change Drastically

If you have been following the news regarding employment rates, you may have noticed by now that the numbers keep fluctuating. By the week, employment numbers can change drastically, often between thousands of jobs week by week. It’s not that there are this many employers are hiring or firing that many employees in such a short time, but many times it is due to the Census Bureau having incomplete results. However if you want some kind of idea, the following are the top four reasons why employment rates are changing so quickly up or down.

1. Downsizing and Restructuring

Even 3 years after the major economic crisis was over, employers are still finding it difficult to maintain their business or at least keep the same amount of employees as they have had. Over half of the employment number fluctuations are due to downsizing, even more recently. Restructuring also affects the employment numbers significantly, as the companies remain the same size but job titles and the number of available positions continue to change.

2. Employees looking for new Opportunities

The next biggest reason for fluctuating employment numbers is employees leaving on their own accord. Many individuals are going to school or looking for new opportunities. Even if they have a stable job, a variety of people want to have a bigger challenge at work. So people who have had the same job for 10 or 15 years are suddenly making a big career change to challenge themselves and find what other types of jobs in the same or a different industry are available.

3. Better Compensation and Benefits

Aside from new opportunities in general employees are also leaving companies to look for better compensation and benefits. If you’re a business owner and wondering why so many employees seem to leave after a short period of time, you might want to reexamine the benefits you offer your employees, the employment programs you have, and the compensation you’re offering your best workers. Annual raises, excellent health benefits, and additional benefits like paid days off and retirement programs can be highly favorable and keep your current employees for longer.

4. Inaccurate Data

Finally, you should also be aware that a lot of the frequent fluctuations in employment numbers in the country or from inaccurate or incomplete data. The Census Bureau collects data from households on the number of adults working on a regular basis, but occasionally they are not home when data is collected, or are just about to start or stop their job. There are many reasons behind this, but a good portion of the fluctuations, especially when drastic, are from incomplete data.


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