Health care added 68,000 jobs in May, according to the U.S. Bureau of Labor Statistics report, while pushing up the three-month average to 66,000.
One key factor to health care’s resilient job additions comes from the ambulatory services sector. Noteworthy data insights include the following:
- 43,000 jobs were added in May, pushing up their three-month average to 33,000, a significant jump from 30,000 previously.
- The jobs gains can be attributed to the continued focus from health care providers to provide care in a more convenient setting.
- Physician offices and outpatient clinics patient visits continue to increase which often refer into the health care continuum and create demand in other sectors like hospitals and home health.
- This sector alone outpaces other broader categories in the economy such as construction and leisure and hospitality.
Labor market tightens in the health care ecosystem
Health care unemployment moved to 2.9%, up from last month’s 2.1%; however, we expect this to stay well below historical norms. The consistent need for qualified personnel across diverse settings like home health, nursing care and the ever-expanding ambulatory services sector will continue to drive demand for workers.
Wages: The challenge ahead
The biggest hurdle health care providers face lies in maintaining competitive wages. The tight labor market, coupled with recent health care Job Openings and Labor Turnover Survey data, suggests an abundance of job options for health care professionals. This highlights the need for providers to adjust compensation packages to attract and retain top talent.
Get additional health care industry insights in our outlook.
