Unemployment's Hidden Toll: Skill Deterioration

 
 
 
May 2025
 
 
 
 
4.2%
 
The unemployment rate was unchanged, and employment increased by 177,000 jobs in April. Healthcare, transportation and warehousing, financial activities, and social assistance continued to increase, while federal government employment declined. The labor force participation rate changed little at 62.6%. Average hourly earnings rose by 6 cents (0.2%) to $36.06. The average workweek was unchanged at 34.3 hours.
 
According to the American Staffing Association, temporary help employment was 1.59% of total nonfarm employment in April.
 
Notable Gains and Losses
 
  • Healthcare and Social Assistance: +58,200
  • Transportation and Warehousing: +29,000
  • Leisure and Hospitality: +24,000
  • Professional and Business Services: +17,000
  • Financial Activities: +14,000
  • Construction: +11,000
  • Manufacturing: -1,000
 
Read the full report at BLS.gov
 
 
 
 
 
 
 
 
SHRM Research Finds Nearly 20 Million Jobs Are at Risk for Displacement
HR Brew – May 8, 2025
 
New research reveals nearly 20 million jobs are at risk of displacement due to AI. The finance and insurance, manufacturing, and transportation and warehousing sectors face the most substantial exposure. Notably, blue-collar, service, and administrative support roles are more vulnerable to these changes compared to other job categories. To combat the risk of displacement, employers can invest in reskilling, continuous learning, and restructuring responsibilities to work with automation. 
 
Application Process Should Take Less Than 30 Minutes, US Workers Say
HR Dive – May 8, 2025
 
Nearly three-quarters of job seekers say the application process should take less than 30 minutes, and 35% are willing to abandon applications that take too long. The greatest impact on job seekers’ impression of a company during the interview process is having an easy application experience, according to 43%. 
 
Mental Health Trust Gap Between Employers and Employees
Psychology Today – May 7, 2025
 
Employees want more mental health support and benefits but lack trust in their employers. Fifty-eight percent of employees view mental health support from employers as performative, and 50% feel safer talking about mental health with an AI chatbot than their HR department.
 
 
 
 
62% of US Job Seekers Would Consider Not Applying to Companies Using Generative AI During the Hiring Process
ExpressPros.com – April 23, 2025
 
A staggering 62% of U.S. job seekers would consider not applying to companies that overly rely on generative AI during recruitment, emphasizing the irreplaceable value of human interaction despite the efficiency AI offers. This is according to a recent Express Employment Professionals-Harris Poll survey. While many job seekers acknowledge the appropriateness of using AI for tasks such as drafting resumes and cover letters (78%) and creating mock interview questions (78%), there is a significant concern about the over-reliance on AI. 
 
Unemployment's Hidden Toll: Skills, Confidence and Mental Health
ExpressPros.com – April 9, 2025
 
In a rapidly changing job market, the consequences of prolonged unemployment are taking a significant toll on job seekers, affecting not only their skills and confidence but also their mental health and networking opportunities.
 
According to a recent Express Employment Professionals-Harris Poll survey, there is a glimmer of hope: only 22% of unemployed job seekers have been without work for more than two years, a significant drop from the alarming 40% in Spring 2023. However, the road to recovery is still long, with only slight improvements from Fall 2023 (36%) and Spring 2024 (32%). The primary reasons for unemployment remain consistent, with voluntary quits (26%) and terminations (19%) leading the pack.
 
 
 
 
 
 
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