The US added 253,000 nonfarm jobs in April compared to March, but the number of temp jobs declined by 23,300 to a total of approximately 3.0 million, according to seasonally adjusted numbers from the US Bureau of Labor Statistics.

Year over year, the number of temp jobs fell by 3.8%, and the BLS noted employment in temporary help services is down by 174,000 since its peak in March 2022.

“The April BLS numbers highlight the mixed nature of the current economic and employment situation, with relative strength in the overall employment picture but weak temporary help numbers,” said Barry Asin, president of Staffing Industry Analysts. “The temp numbers, which are typically a coincident indicator of overall economic growth, are consistent with the modest decline we have noted in 2023 in the SIA | Bullhorn Staffing Indicator.”

In addition, April’s gain in nonfarm employment is below the average monthly gain of 290,000 over the prior six months. The temp penetration rate — temp jobs as a percent of total nonfarm employment — was 1.93% in April, down from 1.95% in March. The BLS also announced revisions with total nonfarm employment in February and March combined approximately 149,000 lower than previously reported.

Nonfarm employment totaled nearly 155.7 million in April.

Meanwhile, the US unemployment rate edged down to 3.4% in April from 3.5% in March. And the college-level unemployment rate — which can serve as a proxy for professional employment — declined to 1.9% in April from 2.0% in March.

Persons who lost their jobs or completed temporary jobs fell by 307,000 in April to 2.6 million.

Segments adding jobs in April included professional and business services, healthcare, and leisure and hospitality, though at slower rates than in previous months.

Professional and business services. This segment added 43,000 jobs in April compared with the average monthly gain of 25,000 over the past six months. Within the segment, professional, scientific and technical services jobs increased by 45,000. While the number of temp jobs fell, they are included in the professional and business services segment.

Healthcare. The number of healthcare jobs rose by 40,000 in April compared with the average monthly gain of 47,000 over the prior six months. Employment trended higher in ambulatory healthcare services, up 24,000; nursing and residential care facilities, up 9,000; and hospitals, up 7,000.

Leisure and hospitality. Employment in leisure and hospitality rose by 31,000 jobs with a gain of 25,000 jobs in food services and drinking places. Leisure and hospitality had added an average of 73,000 jobs per month over the prior six months.

Average hourly earnings for all employees on nonfarm payrolls rose by 16 cents to $33.36. Average hourly earnings have increased by 4.4% over the past 12 months. Separately, the average hourly wage for production and nonsupervisory employees rose by 11 cents to $28.62 in April.

“Today’s jobs numbers show the promise of spring. With a higher than expected 253,000 jobs added and unemployment at 3.4%, employers continue to hire for in-demand skills while pulling back on nonessential headcount,” said Becky Frankiewicz, president and chief commercial officer of ManpowerGroup Inc.

“The clouds are emerging with revisions though, as last month’s report was revised down by almost 100,000 jobs — and the three-month average is tracking down,” Frankiewicz said. “Today, we’re seeing very concentrated demand with medical, IT and sales representing 44% of all open positions, according to ManpowerGroup’s real-time data, which looks at all available jobs across the country, openings are the lowest they’ve been in two years.”

For more on the employment situation, please see the “May 2023 US Jobs Report” by Staffing Industry Analysts.