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Labor index declines, but signals slow job growth

A monthly index tracking labor trends continues to decline, but still signals slow job growth in the months ahead.

The Conference Board Employment Trends Index slipped two-tenths in August to 100.8, but remains 4.1 percent higher than this time last year.

“While the Employment Trends Index has been on a slightly declining trend in recent months, the decline in the index is still not as strong as it was in the months leading to previous recessions. We still expect the economy to moderately add jobs in the next several months, but not fast enough to lower the unemployment rate,” said Gad Levanon, an economist for the Conference Board, a business research and membership group.

The ETI aggregates into one index eight labor market indicators. For August, six ot the eight indicators retreated.

 

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