Employees clung to their jobs during the recession despite their dissatisfaction for fear of long-term unemployment. But with a recovering economy, workers are quitting in droves, MarketWatch reports. Sayonara, boss!
Demonstrating confidence in the economy, more employees are saying “I quit!” nowadays at a seven-year high, according to a U.S. Department of Labor report. Nearly three million workers quit their jobs in March; this is the most since April 2008 and up 15 percent from the year prior. It’s a sign that workers are confident that they can find a more stable career.
“Fundamentals remain strong,” economists with Wells Fargo Securities wrote in a research note. “Rising quits should support real wage growth going forward.”
Workers’ optimism is matched by employers, too. The number of hires climbed to 5.07 million; that’s up seven percent from the year before. The good news follows last week’s report, which announced that the unemployment rate dropped to a seven-year low in April. The U.S. created 223,000 new jobs that month. Average hourly pay also saw a slight bump of .01 percent to $24.87 an hour.
Zooming in on African Americans, according to The Kansas City Star, Blacks have made notable gains in jobs. “The unemployment rate for whites has held flat at 4.7 percent. But for blacks? It’s fallen from 10.4 percent to 9.6 percent, hitting single digits for the first time in the recovery,” the paper says.
Valerie Wilson, an economist and director of the Program on Race, Ethnicity, and the Economy (PREE), predicted that the Black unemployment rate would hit the single digits by mid-2015 — and she was right.
This is marvelous news. The Great Recession plunged the Black unemployment to its highest rate ever since 1984 and it is a relief to finally see promising job figures for African Americans.
But there is still some work to be done. Experts say that to strengthen the job market, employers need to offer higher wages to attract and maintain workers.
“You only saw a modest increase in wages,” senior economist Jennifer Lee of BMO Capital Markets told MarketWatch. “We need to see bigger gains.”