Today’s issue of WorkCompRecap features NCCI’s release of the February edition of its Labor Markets Insights report, which provides a monthly overview of key labor market statistics to help workers’ comp industry leaders make informed decisions alongside the changing workforce and economy.
Key insights included that as suggested in its previous report, January saw much better than expected employment growth, with fewer seasonal layoffs likely playing a role. 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. At the end of last year 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.