Read our full analysis for a more in-depth look at these trends.
What lies beneath: 4 key findings on the labor market
We highlight some areas of weakness beneath the surface of a buoyant labor market.
- The overall U.S. labor market remains strong and resilient, but is there anything going on beneath the surface that tells a different story? Using Bank of America internal data we make four key findings.
- First, we find evidence that the rate of job-to-job (j2j) changes is slowing. Second, we see signs that the raises people are getting from switching jobs are cooling. Third, higher-income and younger workers appear to be softening most.
- Finally, we look at movements out of employment and find that while overall outflows are broadly unchanged relative to 2019, they are becoming significantly more skewed towards higher earners.
Consumer Checkpoint: Higher-income pullback
While the overall labor market remains buoyant, higher-income households are seeing some pockets of weakness.
Has the gig economy peaked?
The recent decline in gig workers is driven by lower demand for deliveries and a rotation into traditional labor markets.