U.S. employers added 175,000 new jobs in May, driven by growth in the consumer and professional services sectors. While the unemployment rate ticked up slightly to 7.6% as more workers entered the labor force, overall job growth has averaged 172,000 per month over the past year. However, hiring has been less than robust and the effects of government spending cuts and a soft global economy are expected to continue weighing on moderate labor market growth in the near future.

1. J u n e 7 , 2 0 1 3
$23.89
AVERAGE HOURLY EARNINGS
(ALL WORKERS)
2.0% ABOVE LAST YEAR
• Job gains of 175,000 in May were driven by growth in consumer sectors and
continued strength in professional services employment.
• The unemployment rate edged upwards, but for the right reasons, as more
workers entered the labor force.
• The U.S. labor market remains relatively resilient despite headwinds including
reduced federal spending and a soft global economy.
Job creation continued along a steady path in May, with employers adding a respectable 175,000 workers to their payrolls during the
month. Although employment growth figures for the prior two months were revised slightly downward, the U.S. economy has added
nearly a million jobs so far in 2013, suggesting that the labor market is holding up in the face of an uncertain economic climate. Overall,
U.S. employment growth has averaged around 172,000 per month over the past year.
(Continued)
RESPECTABLE EMPLOYMENT GROWTH IN MAY
WORKERS IN MAY
U.S. EMPLOYERS HIRED
A TOTAL OF
7.6%
THE UNEMPLOYMENT RATE
ROSE TO
8.2% LAST MAY
175,000

2. Talent Market Monthly: June 7,2013
The professional and business services sector led job growth in
May, adding 57,000 new positions, reflecting the ongoing trend
towards higher skilled work. Increased consumer spending
trends boosted employment in the retail trade sector (+28,000)
and the food services industry (+38,000). The effects of the
fiscal sequester are now becoming apparent, as federal
government employment fell by 14,000 in May; over the past
three months, the federal government has shed 45,000 jobs.
The unemployment rate ticked slightly higher in May, as more
than 400,000 workers were added to the labor force. Although
the increase in labor force participation is encouraging,
unemployment remains well above both its pre-recession level
and the 6.5% watermark that the Federal Reserve indicated
would trigger an easing of its monetary stimulus policy.
While U.S. employers continue to add more workers, the pace
of hiring has been less than robust. And as government
spending cuts and soft export levels are expected to continue
to weigh down the economy, the near-term outlook for the
labor market calls for similarly moderate growth.
EMPLOYMENT OVERVIEW
JAN FEB MAR APR MAY
Total non-farm employment growth 148K 332K 142K 149K 175K
Private sector employment growth 164K 319K 154K 157K 178K
Unemployment rate 7.9% 7.7% 7.6% 7.5% 7.6%
An Equal OpportunityEmployer ©2013 Kelly Services, Inc. W1093e
STEM WORKER SHORTAGES
U.S. MONTHLY EMPLOYMENT CHANGE AND UNEMPLOYMENT RATE
Source: Bureau of Labor Statistics
6.0
7.0
8.0
9.0
10.0
0
50
100
150
200
250
300
350
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Jun-11
Jul-11
Aug-11
Sep-11
Oct-11
Nov-11
Dec-11
Jan-12
Feb-12
Mar-12
Apr-12
May-12
Jun-12
Jul-12
Aug-12
Sep-12
Oct-12
Nov-12
Dec-12
Jan13
Feb13
Mar13
Apr13
May13
UnemploymentRate(%)
Employment(000s)
Total non-farm employment growth Unemployment rate
Is there a shortage of STEM (science, technology, engineering and math) workers
in the United States? A recent report by the Economic Policy Institute ignited
discussion as it concluded that the country has a “more than sufficient supply” of
people with STEM skills who are available to work. But other analysts and experts
still claim that the US has a serious deficiency of workers with the technical
background and skills necessary to drive innovation and economic growth.
Central to this debate is the role of foreign students and workers in STEM fields.
A significant percentage of STEM graduates from U.S. universities are foreign-
born—particularly at advanced degree levels. More than 40% of all STEM
doctorates in the U.S., and more than half of all engineering PhDs, are awarded
to foreign students, according to research from EMSI. But only around a third of
foreign students end up staying in the country on temporary work visas.
This issue is expected to continue to gain attention as the Senate considers
proposed immigration reform. The current proposal would increase the number
of temporary H1-B visas for skilled workers, along with other provisions intended
to attract more immigrants with STEM and other high-level skills.
Sources: EMSI, May 28, 2013; New York Times, May 22, 2013