The Jobs Report!

Friday’s Jobs Report may discourage you as a job seeker from remaining ‘active’ in your job search.  It is disheartening to learn that overall nationwide hiring fell far short of expectations.  You feel defeated before you even begin your job search! But while you read or hear about the statistics on job growth for June, keep in mind that hiring within most organizations is cyclical and increases or decreases depending where on the fiscal calendar jobs are created.

For non-profit and government organizations, the beginning of the fiscal year is July 1st.  Hiring will slow in the 4th quarter (April, May, June) to move any anticipated increase in the number of employees and the ensuing increase in payroll taxes into the next fiscal year. Positions that open up in April or May may not be filled until after July 1st or well into Q1 (July, August, September) of the new fiscal year. Hiring in these organizations also depends on funding, and new funding is available after July 1.  Timing with the financial calendar will also slow hiring in April, May and June pushing out hiring until after July 1st to coincide with any possible funding increases.

For private or publicly traded companies, the fiscal year may begin January 1st. June is the halfway mark between the first and the second half of the financial calendar, and July 1st marks a new financial beginning!  It is not uncommon for hiring to slow in June and then pick up in the later part of the 3rd quarter (July, August, September) as the financial calendar moves into Fall and the 4th quarter and the financial year’s end.

And there are companies, some in the Biotech, Pharma and Medical Device arena, with a fiscal year beginning April 1st-just to be uncommon!

June also marks the beginning of the summer season which is another factor that influences hiring. The pace is slower, and many hiring managers or internal recruiters are simply on vacation!  The absence of employees that are critical to hiring will slow the entire recruitment process.

Yes, in better economic times, hiring is consistent for the entire fiscal cycle no matter which financial calendar the organization follows.  Hiring had once been frenetic to reflect rapid economic growth. Recessions, with their increased candidate pool and decreased job openings, allow companies more control and choice as to when to initiate hiring for any open positions. The ebb and flow of job openings reflect this non-pressured approach to filling any open positions.

My interpretation of the Jobs Report is not shared by many, but it is a possible explanation for the downturn in hiring for April, May and June of 2011.  It is a case of the glass half full versus the glass is down right empty!

So while you listen to the June Jobs Report, remember that the right job is waiting for you.  Do not give up and never stop trying! It is timing that is everything!  And you want to be ready and prepared when the right job opens up just for you!