Experts worried a rise in layoffs could signal the start of a continuing trend, “so we were pleasantly surprised layoffs fell down closer to February levels after rising in March,” Elise Gould, senior economist at the Economic Policy Institute tells CNBC Make It.
But there are still opportunities in some pockets of the labor market, particularly in leisure and hospitality roles. Across the job market and as of April, there were 4.4 million more jobs than people to fill them. However, the gap has closed by 24% in the last year, and cooling wage growth also means there aren’t any major talent shortages across the board, Gould says.
Gould says there isn’t enough data to prompt the Fed to be worried about an “overheated” job market or to tamp down on unchecked wage inflation. However, she says, “I have concerns that if the Fed keeps raising rates, that could lead to a recession.”