Peyton Resource Group. Current State of the DFW Job Market Bryan Mayhew CEO May 11, 2016
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1 Peyton Resource Group Current State of the DFW Job Market Bryan Mayhew CEO May 11, 2016
2 National Employment Numbers 160,000: U.S. employers added a seasonally adjusted 160,000 jobs in April, falling well short of the 205,000 forecast by economists. Monthly employment growth has averaged 192,000 in the first four months of the year, a slowdown from the 229,000 average in %: The unemployment rate stayed at 5% in April, meaning that nearly 8 million Americans who were looking for work couldn t find a job last month. That s half of its 2009 peak of 10%. In March, Federal Reserve officials projected the unemployment rate would fall to 4.7% by the end of this year, and drop to 4.6% in %: Another gauge of slack in the labor market is the broader measure of unemployment that includes workers stuck in part- time jobs or too discouraged to search for work. It stood at 9.7% last month, matching February s rate, which was the lowest since %: The share of Americans participating in the work force stood at 62.8% in April, down from 63% in March but up 0.4 percentage points from a multi- decade low of 62.4% in September. Continuing improvement in the job market should draw more workers off the sidelines, but the aging U.S. population means many older workers may be gone from the labor market for good. 2.5%: Average hourly earnings for private- sector workers last month rose 0.3%, or 8 cents, following a 6- cent increase in March. That brings April s average hourly earnings up 2.5% from April The average workweek rose 0.1 hours to 34.5 hours last month. Some economists are concerned that as wages rise, falling corporate profits will make it harder for firms to keep adding workers. 19,000: Both March and February s job gains were revised downward, resulting in 19,000 fewer jobs added than had been previously reported. Sources: Wall Street Journal, Bureau of Economic Analysis
3 National Employment Numbers Job Loss/Gain and Unemployment Rate Job Loss/Gain: +160,000 Jobs Unemployment Rate: 5.0% (unchanged) Sources: Bureau of Labor Statistics, American Staffing Association
4 National Employment Numbers Job Gain/Loss and Unemployment Rate Job Gains Change from Previous Month Professional and Business Services 65,000 Leisure & Hospitality 22,000 Financial Activities 20,000 Manufacturing 4,000 Construction 1,000 Education & Health Services 54,000 - Healthcare 44,200 - Education 15,900 - Social Assistance - 6,000 Government Retail Trade Job Losses Change from Previous Month - 11,000-3,100 Unemployment Rate: Bachelor s Degree or Higher December January February March April 2.5% 2.5% 2.5% 2.6% 2.4% Nonfarm Payroll Job Growth Details Jobs Added/Lost Private Sector 171,000 Government Sector - 11,000 Total 160,000 Sources: Bureau of Labor Statistics, American Staffing Association
5 National Employment Numbers Temporary Employment Statistics Temp Penetration Rate: 2.03% +0.02% (Increase) Number of people employed as a temporary employee divided by total non farm payroll employment Temp Employment Temporary help services gained 9,300 jobs. I Why is the Temp Penetration Rate Important? Temporary Help Employment is a Leading Indicator for Nonfarm Employment Staffing job trends lead nonfarm employment by three months when the economy is emerging from a recession and by six months during periods of normal economic growth. American Staffing Association Sources: Bureau of Labor Statistics, American Staffing Association
6 Cities with Most Job Growth Local Employment Numbers
7 Job Growth By Industry Trade, Transportation & Utilities + 40,000 Jobs (5.7% vs 1.9%) Leisure & Hospitality +27,000 Jobs (8% vs 3.2%) Professional & Business Services + 20,000 Jobs (3.8% vs 3.1%) Education & Health Services +17,000 Jobs (4.1% vs 3.2%)
8 Top 5 Accounting Positions in DFW Accounts Payable: Salary Range: $32,000 46,000 Average Salary: $40,644 Accounting Clerk: Salary Range: $28,080 35,880 Average Salary: $32,344 Staff Accountant: Salary Range: $47,000 71,000 Average Salary: $62,183 Bookkeeper: Salary Range: $31,000 41,000 Average Salary: $36,640 Payroll Clerk: Salary Range: $28,000 38,000 Average Salary: $33,991
9 Supply and Demand Accounts Payable: Supply: 564 Active Candidates Demand: 2,949 Job Postings Accounting Clerk: Supply: 870 Active Candidates Demand: 4,879 Job Postings Staff Accountant: Supply: 2,171 Active Candidates Demand: 8,021 Job Postings Bookkeeper: Supply: 776 Active Candidates Demand: 4,186 Job Postings Payroll Clerk: Supply: 457 Active Candidates Demand: 1,033 Job Postings
10 Bookkeepers * PRN Newswire, 2015 Survey Significant Growth
11 Bookkeepers (Regional Breakdown)
12 Accountants * PRN Newswire, 2015 Survey Significant Growth
13 Accountants (Regional Breakdown)
14 Bill & Account Collectors * PRN Newswire, 2015 Survey Significant Growth
15 Bill & Account Collectors (Regional Breakdown)
16 Competitive Edge CPA (certified public accountant) CFA (chartered financial analyst) CGMA (chartered global management accountant) CIA (certified internal auditor) CISA (certified information systems auditor) CMA (certified management accountant) CPP (certified payroll professional)
17 Employment Trends The Inevitable Distributed Workforce
18 * MBO 2015 State of Independence Employment Trends
19 Distributed Workforce Benefits Organizations are realizing the value of allowing employees / contractors to work remotely for various reasons relocations, lack of space, access to talent, etc.: Employee / Contractors (Traditional telecommuting) Better work / life balance Reduces costs on expensive office space & other resources ($11,000 est. annual per employee ) Less stressful (no commute) Fewer distractions Less expensive for employee / contractor (save gas on the commute, reduce carbon footprint) More productive Reduces attrition Organizations with limited resources can compete nationally!
20 Telecommuting Statistics million Americans work from home at least one day a week * 3.1 million (2.5%) of American workforce consider home their primary workplace * Telecommuting in the U.S. grew 73% from 2005 to 2011 * Employees working on creative tasks are about 20% more productive when telecommuting ** Telecommuters are 2x as likely to work more than a 40- hour work week ** 53% of telecommuters work more than a 40- hour work week ** A typical telecommuter saves between $2,000 7,000 annually ** An employer can save $11,000+ per employee when working from home at least half the time. ** * Global Workplace Analytics and the Telework Research Network 2013 study ** Inc. Magazine 2013 study
21 Challenges Faced by Today s Employers Competitive Market DFW is one of the hottest job markets in the country Slow Hiring Process Managers take too long to review resumes and act on qualified candidates Lack of Flexibility Stuck in the old way of doing business No remote capabilities
22 What You Can Do To Take Control Get strategic with recruiting Leverage social media Tap into employee referrals Craft better job descriptions to include not only salary, but also behavioral characteristics that will be needed to succeed. Competitive Salary and Benefits Make sure you re staying competitive if having trouble matching salaries, look at other creative perks (e.g. extra PTO, etc.) Employee Retention The #1 reason people leave is a poor relationship with their boss. It doesn t require spending money to make employees feel appreciated and respected. Partner with PRG!
23 About PRG PRG Highlights 15 years of continuous service in Texas (Dallas, San Antonio and Austin) Award- winning staffing firm Dedicated technology division Zero Client Technology Center (first of its kind in the U.S.)
24 Video The Game Changer Candidates can Interview 24x7 The Millennial Approach
25 Traditional Telecommute/Distributed Model Known Issues Expensive server hardware Difficult to set up properly/securely Costly to maintain and upgrade Difficult for users to learn and use Company data can exist outside of its control major compliance issues
26 PRG Workforce- as- a- Service Model Company network and servers sit behind firewalls to protect data Contractors utilize Zero Client Devices to connect to Amazon WorkSpaces (Desktop- as- a- Service) The Virtual Private Cloud (VPC) that hosts the contractors virtual desktops securely connects to the company network via AWS Direct Connect The virtual desktops (Amazon WorkSpaces) function as if they are sitting on your local network Can be tied into your organization via Active Directory or other identity services Your Workforce can be located anywhere in the U.S. with full security! * Costs for WaaS can be blended into existing contractor hourly rates
27 PRG Workforce- as- a- Service Model PRG is responsible for the acquisition and maintenance of (based on requirements): Zero Client devices Amazon WorkSpaces Cloud- based phone solution Office 365 subscriptions Norton AntiVirus subscriptions AWS Virtual Private Cloud AWS Direct Connect (premium editions) You have access to talent you would never have access to otherwise!
28 Specialties Include: Staff Aug & Perm Placement Talent Strategy Services
29 Questions
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