The U.S. economy continued its upward trend in the month of July as employers continued to add more middle- and high-wage jobs, a sign of increased employer confidence.According to an August 3 USA Today article, job growth over the last two months in industries such as business, construction and manufacturing, with 257,000 jobs added, outpaced gains in lower-wage industries like fast food, which grew by just 210,000 jobs, last month.Compared to this time last year, when the reverse scenario was true, July’s data shows positive signs for the country’s continued economic recovery, as an influx of higher-wage jobs means a higher average wage and, as a result, improved consumer spending.
During economic recoveries, low-wage positions in the retail and food service industries are typically added first, according to USA Today. As companies’ earnings continue to rise, they will later add jobs for accountants and marketing professionals.
“Low-wage jobs lead you out of the recession and then higher wage jobs take over,” UBS economist Drew Matus told USA Today.
“Overall we’re seeing a very strong demand for hiring across the board,” says Dane Reese, CEO of People Axiom. “There is continued demand for good sales talent, there is certainly pressure on wages for people who have experience. I think this is going to be a very strong quarter, and it’s encouraging to see.”
As the economy continues to show confidence in hiring white-collar employees with specialized talents, it will become increasingly clear that the economic recession is a thing of the past.