As growth steams along, industry enjoys a nationally low 1.6% unemployment
September 03, 2019 — CHICAGO–(BUSINESS WIRE)–According to the latest iteration of the Semi-Annual U.S. Insurance Labor Outlook Study conducted by The Jacobson Group and Aon plc, 62 percent of companies polled intend to increase staff in the next 12 months. In addition, the Bureau of Labor Statistics reports the unemployment rate for the insurance industry is 1.6 percent. This remains significantly lower than the national average, 3.7 percent.
“Insurers plan to continue growing their staffs to accommodate increases in business volume and expansions into new markets, similar to January’s iteration of the study,” says Gregory P. Jacobson, co-chief executive officer of Jacobson. “However, the candidate’s market perseveres, fueled by mass retirements, job growth influenced by modernization efforts and virtually non-existent industry unemployment.”
The study found most vacant positions are still moderately or significantly difficult to fill, with eight of 12 categories increasing in recruiting difficulty compared to July 2018.
Some additional key findings include the following:
- Seventy-nine percent of companies expect an increase in revenue growth, the same as six months ago. Seventeen percent of companies expect flat revenue growth, up one point from January 2019.
- Technology is the function expected to grow the most during the next 12 months. Additionally, the likelihood of companies increasing technology staff is the highest it has been in the last six years.
- While a forecasted increase in business volume is the leading reason to hire staff, automation will be the primary driver behind reductions in staff in the next year.
- The total industry grew 1.31 percent in the last year versus an anticipated rate of 0.6 percent.
If the industry follows through on its plans, we will see a 1.34 percent increase in industry employment during the next 12 months, creating new jobs.
For more highlights and commentary, download the full results summary and the recorded webcast here.
The insurance labor outlook study has been conducted semi-annually since July 2009. Collecting revenue and hiring projections from organizations across all sectors of the industry, the survey provides a valuable look at the labor market outlook and hiring trends.
The study’s next iteration will occur in January 2020. To be notified when it opens, follow this link.
About The Jacobson Group:
The Jacobson Group is the leading provider of talent to the insurance industry. For nearly 50 years, Jacobson has been connecting organizations with insurance professionals at all levels across all industry verticals. We provide an array of services including executive search, professional recruiting, temporary staffing and subject matter experts. Regardless of the need or situation, Jacobson is the insurance talent solution. Further information is available at jacobsononline.com.
About Aon plc:
Aon plc (NYSE: AON) is a leading global professional services firm providing a broad range of risk, retirement and health solutions. Our 50,000 colleagues in 120 countries empower results for clients by using proprietary data and analytics to deliver insights that reduce volatility and improve performance.