The Effect of the Job Market on the Economy

With summer approaching, signs have emerged of a possible U.S. labor market slowdown. Job openings have modestly declined in recent months. The April Employment Situation Summary from the U.S. Bureau of Labor Statistics shows payroll employment growth slowed from previous months. April saw the creation of 175,000 new jobs, modestly below expectations, and a possible sign of slower economic growth.2 Nevertheless, job layoff activity appears stable and worker’s wage gains remain solid.