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Will Increased GDP Lead To More Job Growth?

The US Commerce Department reported that Gross Domestic Product increased at a rate of 3.5 percent in the third quarter which was a revision to its previously reported 3.2 percent increase earlier. Factors include increased consumer spending, and more investments by business which rose 1.4 percent. It was also reported that Gross Domestic Income rose by 4.8 percent in the third quarter which is another sign of a strong economy.

As a New England based professional recruiting services provider  we continue to see  tremendous acceleration in Employment Market. The Massachusetts unemployment rate now stands at 2.9 percent as of November 2016 and many industries are having challenges filling certain positions; kind of a good news, bad news scenario.

The increase in GDP can tell us a couple things. First, that job growth has happened because more people are working and those consumers are spending their money. Over the past year we have seen restaurants and hospitality grow in the number of jobs created across the country because of increased consumer demand. And the category of professional, scientific and business services has been leading the way in job growth for over a year.

The increase in GDP also shows us that we should see continued job growth in 2017. As more businesses become confident in our economy that will no doubt lead to their investment in the workforce. And as that happens, we’ll see even more consumers become confident in our economy. As the price of gas stays low, household debt remains under control and job growth stay in the positive territory, we’ll see a great 2017.

At King & Bishop, the trends fall in line with our client experiences and outlook. We are confident that job growth will continue long into 2017 and we are ready to help you. If you are a growing organization that needs assistance in your talent acquisition, contact our team today.

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