Fed: Economy Expanded; Staffing Saw Signs of Labor Market Tightness
Overall economic activity expanded from mid-May through June, according to the Federal Reserve Board’s latest report on regional economies (known as the “beige book”). Across districts, employment levels increased or were steady in most sectors, although there were some reports of layoffs in manufacturing and energy industries. Labor market tightness was reported in four of the 12 districts. Firms from several districts continued to describe shortages for particular types of skilled labor, predominantly in the construction industry. Most districts cited only modest wage pressures aside from positions that required specialized skills or were in high demand.