Employment in advertising, public relations and related services rose by 1,400 jobs in January, rebounding following two months of decline.
For the overall economy, U.S. employers added 517,000 jobs in the first month of the year, according to the monthly employment report from the U.S. Bureau of Labor Statistics. That’s the biggest monthly gain since July, a sign of resilience in the labor market despite incessant reports of corporate layoffs and unending speculation about an impending recession.
The unemployment rate fell to 3.4% in January from 3.5% in December. That’s the lowest unemployment rate since 1969, a reflection of a tight labor market with significant job openings despite all the economic stress.
Below, Ad Age Datacenter breaks down the report—by the numbers.
Ad employment gained 1,400 jobs in January, rebounding from late 2022 losses
Advertising, PR and related services
U.S. employment in the Bureau of Labor Statistics (BLS) classification of advertising, public relations and related services came in at 494,800 jobs in January based on seasonally adjusted figures.
The ad market gained 1,400 jobs in January following a decline of 200 jobs in December.
Over the past six months, advertising employment rose in August, October and January; it fell in September, November and December.
When all is said and done, ad staffing in January was almost unchanged from August (494,600).
This BLS jobs bucket includes ad agencies, PR agencies and related services such as media buying, media reps, outdoor advertising, direct mail and other services related to advertising. Ad agencies account for the biggest portion—about 46%—of those jobs.
Ad agencies
U.S. ad agency employment fell to 226,400 jobs in December, dropping for the second consecutive month after reaching an all-time high of 228,700 jobs in October.
Ad agencies cut 1,600 jobs in December after trimming 700 jobs in November based on figures that are not seasonally adjusted.
BLS revised the November figure from a preliminary loss of 1,900 jobs it reported a month ago.
BLS reports ad agency employment on a one-month lag, so January figures aren’t yet available.
But given historic trends, it’s almost certain that ad agency employment fell in January on a non-seasonally adjusted basis. On that basis, ad agency employment in January vs. December fell every year from 2001 through 2022.
Agencies including Interpublic Group of Cos.’ Huge, Stagwell’s Anomaly and independents Work & Co and Empower have had layoffs in recent weeks.
Unemployment rate
The U.S. unemployment rate, based on a separate survey of households, fell to 3.4% in January from 3.5% in December.
January’s unemployment rate was the lowest since 1969. Back in that period, the unemployment rate held at 3.4% from September 1968 through May 1969.
You’d have to go back to 1953 to find an unemployment rate below 3.4%.
U.S. employment
The nation in January added 517,000 jobs based on seasonally adjusted figures, roughly triple economists’ expectations.
This showcases a surprisingly robust labor market despite economic headwinds and unceasing headlines about corporate job cuts.
The economy added 260,000 jobs in December (upwardly revised from 223,000 jobs) and added 290,000 jobs in November (upwardly revised from 256,000 jobs).
Following an unprecedented loss of 20.5 million jobs in April 2020 as the nation locked down in the coronavirus pandemic, the economy has added jobs every month except for December 2020.
Total U.S. employment (155.1 million jobs in January) has recovered all of its pandemic losses, topping its February 2020 pre-pandemic peak (152.4 million) to reach a new all-time high.
The World Health Organization classified COVID-19 as a pandemic in March 2020.
Ad Age Datacenter subscribers can see an expanded and updated table showing advertising employment back to 2000 at AdAge.com/adjobs.
That table incorporates data revisions that BLS made in February 2023 in its annual benchmarking process and updating of seasonal adjustment factors. The table also reflects BLS revisions to industry classifications based on the 2022 North American Industry Classification System.
