Boca Raton, FL – NCCI recently released the latest edition of its Labor Market Insights report, which provides a monthly overview of key labor market statistics and potential impact on workers compensation.
NCCI noted that as the changing workforce and economic conditions continue to be top of mind for workers compensation executives, this valuable resource delivers timely perspectives on what the latest jobs reports mean for the industry.
The data and insights shared in the monthly publication are designed to provide just-in-time information to help industry leaders make informed decisions.
Key Insights for February 2024 included:
- As NCCI suggested in last month’s Labor Market Insights, January saw much better than expected employment growth, with fewer seasonal layoffs likely playing a role.
- In the Bureau of Labor Statistics’ benchmark revisions for 2023, employment gains increased from 225,000 jobs per month to 255,000, and employment grew more broadly at the industry level than initial estimates suggested.
- Along with upward revisions to employment, the benchmark revisions also increased average hourly earnings growth in 2023.
- Despite strong employment and wage growth in January 2024, payroll growth slowed materially. A decline in average hours worked per week and a large base effect from January 2023 contributed. Average weekly earnings grew at a pace of just 3.0% from the previous January, while average hourly earnings grew at a rate of 4.5%.
- Poor weather conditions across most of the country in January could have impacted this result, so we will be closely watching hours worked in next month’s data release.
- At the end of 2023, hiring and quitting rates slowed, which could indicate that workers had less confidence in the strength of the labor market. However, that same slowing of turnover reduces the share of low-tenured workers in jobs, which can contribute to declines in workers compensation frequency.
Access the full report: NCCI Labor Market Insights Report – February 2024 (PDF)