The number of US temporary help services jobs declined by 10,700 in March to just short of 3.05 million, according to seasonally adjusted data released today by the US Bureau of Labor Statistics. However, total nonfarm employment rose by 236,000 in March, with total jobs at nearly 155.6 million.

“The headline slower gains in overall employment suggest that the Fed’s strategy to cool the economy is taking hold,” said Barry Asin, president of Staffing Industry Analysts. “Given ongoing tightness in much of the labor market, it is particularly encouraging to see growth in the labor force and the highest level of labor force participation since the beginning of the pandemic. Meanwhile, the decline in temp help employment is consistent with slower growth for the labor market in the days ahead.”

Today’s data indicates the temp penetration rate — temp jobs as a percent of total employment — edged down to 1.96% in March from 1.97% in February.

The US had an average monthly gain of 334,000 nonfarm jobs over the past six months. The agency noted that in March, employment continued to trend upward in “leisure and hospitality,” which added 72,000 jobs; “government,” which added 47,000; “professional and business services,” up 39,000; and healthcare, which saw an increase of 34,000 jobs.

The BLS revised downward the previous nonfarm job numbers reported in January and February. Combined, there were 17,000 fewer nonfarm jobs than reported and 2,100 fewer temp jobs.

In March, the unemployment rate edged down to 3.5% from 3.6% in February. Meanwhile, the college-level unemployment rate was 2.0% in March, unchanged since January.

Average hourly earnings for all employees on private nonfarm payrolls rose by nine cents to $33.18. For production and nonsupervisory employees, the increase was also nine cents to $28.50.

A full analysis of jobs numbers has been prepared by Staffing Industry Analysts.