Midwest continues to have the best Job Creation Index; the West has the worst

PRINCETON, NJ -- U.S. workers reported essentially no change in net hiring at their workplaces in June, with the Gallup Job Creation Index averaging +20 for the month, similar to the +19 recorded in May and identical to the +20 in April. The index continues to hold at levels that are the most positive since mid-2008.

The Job Creation Index in June reflects 36% of U.S. adult workers saying their employers are hiring and expanding the size of their workforces, and 16% saying their employers are letting workers go and reducing the size of their workforces. Both components of the index have also been steady since April.

The June results are based on Gallup telephone interviews conducted throughout the month with a nationwide random sample of nearly 17,000 employed Americans. The index -- not seasonally adjusted -- provides an ongoing summary of U.S. workplace hiring conditions as reported by employees.

Midwest Continues to Edge Out the South in Net Hiring

Regionally, net hiring is strongest in the Midwest (at +24), as it was for most of the prior 13 months, from May 2011 through May 2012. The South is close behind at +22, followed by the East and the West. From January 2008 through April 2011, the South generally led in net hiring, followed by the East and Midwest, with the West coming in last.

Private-Sector Employment Holds at Improved Level

Similar to May, Gallup's Job Creation Index averaged +24 in June among private-sector workers, compared with a score of -4 among government employees.

The private-sector employment picture is much improved after a long, slow recovery, in comparison to its four-year low of -7 recorded in February 2009. It also exceeds the hiring levels seen in August 2008, just prior to the onset of the Wall Street financial crisis.

By contrast, the index has been negative among government workers since March 2009, far below the +16 recorded in August 2008.

Bottom Line

The next-best thing to growth in the labor market is stability at an improved level, and that's where things appear to have stood in June. Gallup's Job Creation Index of +20 for the month reflects the encouraging finding that roughly twice as many workers report their employers are hiring rather than letting people go. While similar to the figures from the prior two months, it is steady and approaching the highest level seen in the 4 ½ years Gallup has tracked U.S. job creation.

Workers in the Midwest and South continue to report better hiring conditions than do those elsewhere in the country, particularly in the West. Hiring conditions have improved in both government and the private sector over the past year, but on a longer-term basis, hiring is up much more in the private sector -- potentially a more sustainable route to economic recovery than if the pattern were reversed.

Gallup.com reports results from these indexes in daily, weekly, and monthly averages and in Gallup.com stories. Complete trend data are always available to view and export in the following charts:

Daily: Employment, Economic Confidence, Job Creation, Consumer Spending

Weekly: Employment, Economic Confidence, Job Creation, Consumer Spending

Read more about Gallup's economic measures.

View our economic release schedule.

