LinkedIn Workforce Report | United States | February 2023
With over 199 million LinkedIn members in the United States, we have unique insight into the real-time dynamics of Americans starting new jobs and moving to new cities. This month’s LinkedIn Workforce Report looks at our latest national data on hiring and migration trends through January 2023.
For more insight into localized employment trends in 20 of the largest U.S. mtro areas, check out this month’s reports for: Atlanta, Austin, Boston, Chicago, Cleveland-Akron, Dallas-Ft. Worth, Denver, Detroit, Houston, Los Angeles, Miami-Ft. Lauderdale, Minneapolis-St. Paul, Nashville, New York City, Philadelphia, Phoenix, San Francisco Bay Area, Seattle, St. Louis, and Washington, D.C.
Our vision is to create economic opportunity for every member of the global workforce. Whether you’re a worker, an employer, a new grad, or a policymaker, we hope you’ll use these insights to better understand and navigate the dynamics of today’s economy.
Key Insights
Gradual and ongoing hiring declines start the New Year: Nationally, across all industries, hiring decreased by a modest 0.7% in January compared to December. Hiring is also down 23.0% year-over-year. Additionally, we’ve seen a 25.6% year-over-year decrease in hiring since April 2022, where more than half of that decline happened between April through July 2022.
Utilities and Government Administration continue to be bright spots in industry hiring: Hiring increased month-over-month in 10 of 20 industries. This is a slight increase from the 9 industries that saw hiring gains last month. The industries which saw the biggest month-over-month gains were in Administrative & Support Services (+3.3%), Construction (+3.1%) and Transportation, Logistics, Supply Chain and Storage (+2.7%). The biggest declines were seen in Real Estate & Equipment Rental Services (-13.0%), Retail (-10.6%), Farming, Ranching & Forestry (-6.9%). Since the Spring hiring declines (April 2022), the industries that have been holding up the best are Utilities (-4.3%), Government Administration (-5.3%), and Hospitals & Healthcare (-10.4%). Of particular note, Utilities and Government Administration are the only sectors to grow since July 2022 – which are also some of the most stable industries during downturns. The industries that have seen the biggest declines since the Spring are Technology, Information & Media (-41.0%), as well as Real Estate & Equipment Rental Services (-30.5%).
Month-over-month hiring across metros remains steady: Hiring increased month-over-month in 10 of the 20 metro areas we track. The largest month-over-months gains were seen in Austin (6.1%), Minneapolis-St. Paul (5.8%), and Phoenix (5.5%), with the biggest hiring declines occurring in Los Angeles (-8.8%), Philadelphia (-6.9%), and St. Louis (-5.0%). While we’ve seen a notable number of workers moving back to the coastal cities of New York, Seattle and the San Francisco Bay Area, these cities have seen some of the biggest hiring declines since the Spring reversal (April 2022) – New York City (-30.5%), Seattle (-27.1%), the San Francisco Bay Area (-27.0%).
Hiring
The LinkedIn hiring rate is a measure of hires divided by LinkedIn membership. Nationally, across all industries, hiring in the U.S. was 0.7% lower in January 2023 compared to last month December 2022. National hiring was 23% lower in January 2023 compared to last year January 2022.
The industries with the most notable hiring shifts month-to-month in January 2023 were Holding Companies (4.3% higher); Manufacturing (3.3% higher); and Construction (3.1% higher).
Table 1: Hiring on LinkedIn, by Industry, through January 2023
Industry | Jan-22 | ··· | Oct-22 | Nov-22 | Dec-22 | Jan-23 | MoM% Change | YoY% Change |
Accommodation | 1.15 | ··· | 1.01 | 0.99 | 1.00 | 0.95 | -5.2 | -17.3 |
Administrative and Support Services | 1.34 | ··· | 1.08 | 1.07 | 1.04 | 1.03 | -0.5 | -23.3 |
Construction | 1.44 | ··· | 1.20 | 1.14 | 1.14 | 1.18 | +3.1 | -18.4 |
Consumer Services | 1.26 | ··· | 1.13 | 1.10 | 1.09 | 1.07 | -1.7 | -15 |
Education | 1.28 | ··· | 1.22 | 1.19 | 1.17 | 1.13 | -3.5 | -11.7 |
Entertainment Providers | 1.20 | ··· | 0.97 | 0.91 | 0.92 | 0.92 | 0 | -23.5 |
Farming, Ranching, Forestry | 1.51 | ··· | 1.23 | 1.20 | 1.23 | 1.14 | -6.9 | -24.6 |
Financial Services | 1.45 | ··· | 1.23 | 1.13 | 1.12 | 1.15 | +2.3 | -21.2 |
Government Administration | 1.19 | ··· | 1.10 | 1.08 | 1.12 | 1.13 | +1.5 | -4.7 |
Holding Companies | 1.31 | ··· | 1.07 | 0.90 | 0.91 | 0.94 | +4.3 | -27.8 |
Hospitals and Health Care | 1.44 | ··· | 1.17 | 1.13 | 1.13 | 1.16 | +2.7 | -19.5 |
Manufacturing | 1.29 | ··· | 1.07 | 0.99 | 0.98 | 1.01 | +3.3 | -22 |
Oil, Gas, and Mining | 1.14 | ··· | 1.04 | 0.98 | 0.97 | 0.98 | +1.6 | -13.8 |
Professional Services | 1.33 | ··· | 1.04 | 0.99 | 0.97 | 0.97 | +0.6 | -26.5 |
Real Estate and Equipment Rental Services | 1.37 | ··· | 1.05 | 1.05 | 1.08 | 0.94 | -13 | -31.2 |
Retail | 1.20 | ··· | 0.91 | 0.88 | 0.96 | 0.86 | -10.6 | -28.9 |
Technology, Information and Media | 1.60 | ··· | 1.12 | 0.97 | 0.91 | 0.91 | -0.3 | -43.2 |
Transportation, Logistics, Supply Chain and Storage | 1.55 | ··· | 1.25 | 1.23 | 1.19 | 1.22 | +2.7 | -21 |
Utilities | 1.41 | ··· | 1.38 | 1.31 | 1.32 | 1.32 | +0.1 | -6.5 |
Wholesale | 1.23 | ··· | 1.00 | 0.99 | 0.96 | 0.90 | -6.6 | -27 |
Methodology: “Hiring Rate” is the count of hires (LinkedIn members in each industry who added a new employer to their profile in the same month the new job began), divided by the total number of LinkedIn members in the U.S. By only analyzing the timeliest data, we can make accurate month-to-month comparisons and account for any potential lags in members updating their profiles. This number is indexed to the average month in 2016 for each industry; for example, an index of 1.05 indicates a hiring rate that is 5% higher than the average month in 2016.
Migration
The U.S. cities losing the most people are Wenatchee, WA; College Station-Bryan, TX; and Tallahassee, FL. For every 10,000 LinkedIn members in Wenatchee, WA, 966 left in the past 12 months.
The U.S. cities gaining the most people are Austin, TX; San Francisco Bay Area, CA; and Seattle, WA. For every 10,000 LinkedIn members in Austin, TX, 134 arrived in the last 12 months.
Check out our reports for Atlanta, Austin, Boston, Chicago, Cleveland-Akron, Dallas-Ft. Worth, Denver, Detroit, Houston, Los Angeles, Miami-Ft. Lauderdale, Minneapolis-St. Paul, Nashville, New York City, Philadelphia, Phoenix, San Francisco Bay Area, Seattle, St. Louis, and Washington, D.C. to see which jobs are open.
