Applications for unemployment benefits fell again last week as America’s labor market continues to hum along despite attempts by the Federal Reserve to cool the economy and bring down inflation that’s still higher than optimal
To me the funniest part of all this is tech workers screaming that the sky is falling. Really shows what a bubble tech is.
I’m in tech and It’s literally not falling.
People are still hiring, just the bar is no longer absurdly low.
During the pandemic, everyone was hiring like crazy, and people coming out of boot camps were instantly hired even when they didn’t understand algorithms, didn’t understand system design, and didn’t understand engineering principles.
Now, you actually need to have a brain to be hired.
Tech is also not a bubble, because tech is in every single industry now. You might get froth in certain segments of tech (crypto, AI, whatever is the current “hot thing”), the market fundamentals are absurdly good. Operating margins of mature software companies are consistently in the mid 20s to 30s.
Article says the four week average is still up so not sure how newsworthy a single week drop is.
Up, I think, is a bit of an overstatment. Here’s the US Dep’t of Labor statistics, updated as of July: https://www.bls.gov/news.release/pdf/empsit.pdf. The trend is pretty aggressively down over the last few months.