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Industry Overview
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Jobs: Major U.S. Employers OVERVIEW

The Coronavirus epidemic altered the employment landscape dramatically.
     Large numbers of outstanding companies were forced to lay off employees due to both a rapid decline in revenues and uncertainty about the future.
     Hardest hit were the entertainment, restaurant, retail and travel sectors.
     At the same time, some sectors enjoyed soaring growth.
     Interest rates plummeted, causing a massive jump in business at mortgage companies as homeowners sought to refinance their loans.
     Home sales, including vacation homes, soared when people sought comfortable surroundings for their newly established work-from-home routines.
     Supermarkets and food-delivery services boomed.
     Cloud computing firms, cybersecurity companies and digital payments firms, such as Square and PayPal, were also dramatically boosted. By late 2021, thanks to immense federal government stimulus plans and the widespread adoption of Coronavirus vaccines, the U.S.
    economy was roaring ahead in most sectors, creating vast numbers of job openings.
     Nearly all industries were complaining about large shortages of qualified workers, wages were rising and some industries were offering generous sign-on bonuses.
     Many industries were suffering shortages of parts and inventory.
     In February 2022, the unemployment rate was down to a modest 3.8%. One of the most important changes in business and related employment has been the acceleration of long-term trends, in a manner that saw years' worth of business change occurring over a matter of months.
     The most noticeable of these trends was a boom in ecommerce of nearly all types.

By late 2021, thanks to immense federal government stimulus plans and the widespread adoption of Coronavirus vaccines, the U.S. economy was roaring ahead in most sectors, creating vast numbers of job openings. Nearly all industries were complaining about large shortages of qualified workers, wages were rising and some industries were offering generous sign-on bonuses. Many industries were suffering shortages of parts and inventory. In February 2022, the unemployment rate was down to a modest 3.8%.

One of the most important changes in business and related employment has been the acceleration of long-term trends, in a manner that saw years’ worth of business change occurring over a matter of months. The most noticeable of these trends was a boom in ecommerce of nearly all types. Technology-driven services of many other types were accelerated, from remote telemedicine to remote online education.

At Plunkett Research, we believe that consumer and business habits have permanently changed in many ways as a result of this global pandemic. The trend towards shopping via e-commerce means more jobs in website management, logistics, warehousing and delivery services (but fewer jobs in retail stores). On-demand delivery of groceries and meals will remain strong.

The work-at-home trend will endure in many types of sales, administrative and support jobs. This is an evolving trend, with employers attempting to maintain high productivity and efficiency, while accommodating employees’ interests in working from home. Many workers are now in hybrid mode, going to the office a couple of days a week, and working remotely the rest of the time. This has serious career implications. For example, are workers who show up in the office more likely to get choice assignments and promotions?

The travel industry suffered miserably as a result of the Coronavirus, and hotels, cruises and airlines have undergone structural changes and a long-term reduction in business as a result. While leisure travel is popular again, business travel remains very soft.

Job seekers who want good positions with good pay must be extremely well prepared for the process of seeking a job. A large part of the preparation requires meaningful research into prospective employers and the industries in which they operate. The fact remains that several million Americans consider themselves underemployed, and many of them will be looking for better jobs. Competition for the most desirable positions will remain fierce. Many companies receive hundreds or even thousands of resumes for every job opening. Simply sending in a resume and hoping for the best is nowhere near enough for a successful job search.

The good news is that a select set of employers and growth companies will offer superb job opportunities. Sectors such as cloud computing and ecommerce will continue to grow and hire. A few companies with exciting new technologies or cost-saving services will see terrific growth.

Solid companies that do a terrific job of providing the day-to-day needs of consumers and business will continue to hire—Costco and Amazon.com are good examples. Other industry sectors that fall into this category include insurance firms, such as USAA and The Progressive Corporation, along with online services and apps that provide efficient or new ways for consumers and businesses to make purchases, gather data or view entertainment and news.

Growing numbers of consumers prefer to buy from firms that sell goods and services online, offering avoidance of contact with crowds, savings of time, money and car travel. This boosts companies like Amazon.com that offer low prices combined with deep selections and great customer service. Virtually all major retailers, including giants like Walmart and Home Depot, are working hard to provide better online services and choices to their customers. All major supermarkets are enabling online ordering and many offer home delivery.

Americans who find themselves in the market for a job will need to understand the changes surging through the economy in order to determine which companies to pursue and which to avoid. The U.S. employment market has evolved dramatically, and job seekers must be both knowledgeable and nimble in order to position themselves to find promising careers. There will be excellent opportunities for those who are diligent in seeking top employers in most business sectors.

Economic Factors Affecting the Job Market

Business Productivity: Productivity growth has been positive in recent years, but the increases have been very modest. That is, business can be produced—whether it is goods or services—by utilizing fewer workers than before. This will be extremely beneficial to the U.S. economy in the long run. Productivity is boosted by new technologies (such as the use of robotics or artificial intelligence), improved management methods and other factors, sometimes as simple as reorganizing the staff and redesigning the workflow to increase output. (It can also receive a quick boost from restrained corporate hiring.) If rising productivity occurs along with rapidly rising sales and profits, then the job market improves.

Corporate Revenues: A trend of rising revenues encourages hiring. Unfortunately, dropping revenues or an uncertain outlook for the future, typically lead to layoffs and hiring freezes.

Corporate Profits: When profits increase sharply, companies are inclined to increase both investment and hiring. Hiring is strongest when corporate revenues, and accompanying profits, show significant growth, encouraging executives to forecast an extended period of increased demand for their products and services. Losses, or simply drops in profits, lead to hiring freezes, often to layoffs.

It is vital for the job seeker to use the best reference tools possible in order to seek out employers that offer a reasonable balance of financial stability, opportunities for advancement and good pay. Excellent job opportunities always exist if you know where to look.

In particular, companies that offer products or services that save time and/or money will prosper—for example, many types of companies that offer services that help businesses operate more efficiently, will be hiring. Meanwhile, large companies that are not increasing their overall numbers of employees will nonetheless be hiring on a regular basis due to normal attrition—that is, the loss of employees due to retirement, relocation or other personal circumstances. Massive companies like Walgreen’s or Kroger typically need to hire tens of thousands of workers yearly due to normal attrition. At the same time, hiring will be boosted by the numbers of Americans who are turning retirement age and either quitting work or reducing their hours through part-time work.

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Major Employers Market Research