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Ratio of job seekers to open positions at four-year low

Posted on August 6th, 2013 Read time: 1 minutes

In June, there were three job seekers for every open position in the U.S., according to Reuters. This is the lowest the ratio has been in more than four years, and is a strong positive sign for the labor market and the economy in general. Such a low ratio indicates wages may well rise, as employers have less leverage in that area when there are fewer unemployed people seeking jobs.

In a less competitive job market, employees have greater choice in where they would like to pursue a position. Many continue to choose to be temporary workers for a variety of reasons. Some prefer a part-time schedule, which is to their benefit as many of the jobs added last month had fewer than 35 hours a week. Others enjoy the flexibility and variety that comes with temporary work.

According to The Associated Press, fewer jobs are being created in the professional sector than in other, lower-paying industries. For this reason, many workers in professional fields are finding a new career as contract workers. Particularly as the ACA continues to loom large in the minds of company executives, despite the delay in part of its provisions, this can be a profitable choice for highly educated workers in any field. The chances of finding work may be much higher for someone who explicitly seeks a limited engagement.

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