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July 10, 2018 | The Conference BoardEstimated reading time: 1 minute
The Conference Board Employment Trends Index (ETI) increased in June, after decreasing in May. The index now stands at 108.94, up from 107.72 in May. The change represents a 5.2% gain in the ETI compared to a year ago.
“As expected, after decreasing in May, the Employment Trends Index continued its solid path upwards in June, with positive contributions from all of its components,” said Gad Levanon, Chief Economist, North America, at The Conference Board. “The labor market will continue to tighten in the coming months, with strong employment growth outpacing the number of people entering the labor force.”
June’s increase in the ETI was fueled by positive contributions from all eight components. From the largest positive contributor to the smallest, these were: the Ratio of Involuntarily Part-time to All Part-time Workers, The Percentage of Firms With Positions Not Able to Fill Right Now, Percentage of Respondents Who Say They Find “Jobs Hard to Get,” Industrial Production, Job Openings, Real Manufacturing and Trade Sales, Number of Employees Hired by the Temporary-Help Industry, and Initial Claims for Unemployment Insurance.
The Employment Trends Index aggregates eight labor-market indicators, each of which has proven accurate in its own area. Aggregating individual indicators into a composite index filters out “noise” to show underlying trends more clearly.
About The Conference Board
The Conference Board is a global, independent business membership and research association working in the public interest. Our mission is unique: To provide the world's leading organizations with the practical knowledge they need to improve their performance and better serve society. Winner of the Consensus Economics 2016 Forecast Accuracy Award (U.S.), The Conference Board is a non-advocacy, not-for-profit entity holding 501 (c) (3) tax-exempt status in the United States. For more information, click here.
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