Substantial Job Growth A Strong Possibility In The U.S. In 2014 Welcoming A Well Educated And Trained Workforce
The Wall Street Journal predicts the time is right for educated adults to take advantage of a growing employment marketplace. And McKinsey & Co. foresees viable improvements in the U.S. education system.
WSJ reports, “Recent strength in gross domestic product, industrial production and construction all underpin employment’s momentum going into next year. These indicators also support the case that, absent an economic shock, total jobs finally could surpass their prerecession peak by mid-2014.”
Economists surveyed by The Wall Street Journal forecast in 2014 the U.S. will add almost 198,000 jobs a month—the highest estimate since 2005, when the survey was first conducted.
Ward McCarthy, chief financial economist of Jefferies & Co predicts that pent-up demand will drive job creation in the manufacturing and energy sectors in 2014. He told WSJ that consumers and businesses are buying goods ranging from washing machines to cars to airplanes, after postponing such big-ticket purchases during the recession.
WSJ reports that the U.S. still is more than six million jobs below where it could have been without the downturn. There are still almost three unemployed people for every job opening. That is down from 6.2 unemployed for every opening at the recession’s end, but above the 1.8 ratio at its start.
At the same time, though the U.S.’s long-standing advantage in education and skills has been eroding, McKinsey & Co. predicts “today real improvements are within reach. At the postsecondary level, expanding industry-specific training and increasing the number of graduates in the fields of science, technology, engineering, and math could build a more competitive workforce. At the K–12 level, enhancing classroom instruction, turning around underperforming high schools, and introducing digital learning tools can boost student achievement. These initiatives could raise GDP by as much as $265 billion by 2020—and achieve a dramatic “liftoff” effect by 2030, adding as much as $1.7 trillion to annual GDP.”
The timing could be right for a growing employment marketplace to be ready and willing to hire a qualified workforce.