Why so many businesses seem to be hiring
POCATELLO, Idaho (KIFI) – It seems as though most businesses have "Help Wanted" or "We're Hiring" signs on their doors. So, why can't they find workers?
Matthew Paskash, Southeastern Idaho's Regional Labor Economist with the Idaho Department of Labor, says the after-effects of the pandemic could be to blame.
COVID-19 has shifted our economy towards a bigger demand in services. That higher demand has made it more difficult for the labor force to keep up.
Arguably another major reason businesses can't seem to find workers is because of the availability of people looking for work, something that has been predicted for awhile now.
Paskash said "The very large generational cohort that is the baby boomers have been transitioning into retirement age, and COVID just maybe accelerated some of these retirement decisions. So, some of these workers that perhaps you could've maybe counted on to still be sticking around and working, have since left."
Workers who were forced to leave the labor force when the pandemic hit may also be having a hard time returning to work, hence retiring early.
Idaho has seen major growth within the past few years. Paskash says that growth has been a good thing in keeping our labor market stable, but it isn't expected to last long because of the growing housing market.
"I've heard some anecdotal stories of employers make offers to an employee, an employee initially accepts, but then employee has to turn down because they just can't find affordable housing," Paskash said.
But the labor market is not as bad now as it once was. Findings from the Idaho Department of Labor show in Southeastern Idaho, online job postings have declined. They found that last December, in 2021, there were about 1,144 online job postings for the Southeastern Idaho region. This past December showed only 527 online job postings.
Health care positions have remained the top demand.
Paskash says this could be because of higher interest rates and employers deciding certain positions are no longer necessary. Still, he said, "I would still characterize the current job market as still leaning on the tight side, but it's not nearly as tight."
He expects this "tight job market" trend to continue. "By the time we come out of this, we're going to be back to perhaps something resembling the 'just before COVID arrived.' And anyone who was around who was around then, still remembers it was a tight labor market."
The Idaho Department of Labor is holding an Employer Seminar on Wednesday to further discuss the trend we are seeing. More information can be found HERE.
