Insider Finance - Business - Insider Today: The 2024 job market

January 2, 2024 • 5 min read

with Dan DeFrancesco

Welcome back! We are showtime ready, a term Costco employees (or real fans of the store) will know. If you’re confused, read up on some Costco slang to sound like an expert next time you pick up a 25-pound bag of jasmine rice.

In today’s big story, we’re looking at the state of the job market in 2024.

What's on deck

• Markets: Believe it or not, the economy is actually in good shape.
• Tech: VC funding will improve this year, but not by much.
• Business: Stop blaming boomers for all your problems, Gen Z and millennials.

But first, what do you do for work?

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The big story

Who’s hiring?

A new year means a chance for a fresh start, which might mean a new job for some.

But those hoping for an easy job hunt in 2024 might be disappointed. Instead of a return to 2022’s red-hot job labor market, this year looks to remain difficult for job seekers, according to multiple experts Business Insider’s Madison Hoff spoke to. 

While the economy is in good shape, and the Fed seems on track to start cutting rates this year, employers are still being cautious with their hiring plans. Meanwhile, open roles will be competitive due to rising job-search intensity. 

Unemployment is also expected to tick up, according to the most recent Fed projections, which predict the rate will finally eclipse the 4% mark it has remained below for nearly two years. 

But opportunities will still be available in 2024. Job seekers’ best bet might be to look at small- and medium-sized companies, which haven’t pulled back on hiring as much as larger corporations, one expert told Madison. Internal hiring will also be a trend on the rise this year.

Brooks Kraft LLC/Corbis via Getty Images

While getting a job might remain difficult in 2024, big changes are coming to the workforce makeup this year.

It’s out with the old and in with the new, as Gen Zers are on track to surpass boomers in terms of the number of full-time workers, according to a Glassdoor report. 

As sad as I am to see one of the greatest workplace rivalries end, I doubt it will be smooth sailing in corporate America going forward. Gen Zers have made clear their intention to upend office norms. 

How companies react to Gen Z’s requests will be interesting. Boomers’ retiring means Gen Xers and millennials — no strangers to being older generations’ punching bags — are moving into leadership positions.

Part of me wonders if some younger employees are pushing for workplace changes simply because they can. Like a dog chasing a car, sometimes the real fun is in the pursuit.

After all, labor trends like four-day workweeks and paid sabbaticals don’t get at the core of the issue, as BI’s Diamond Naga Siu and Tim Paradis previously reported.

Markets

🔔 Before the opening bell: US stock futures fall early Tuesday, the first trading day of the year.

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1. The economy isn’t as much of a bummer as you think. In fact, it’s actually thriving. Although the wealthy haven’t enjoyed big gains, lower-income workers have seen wage growth and unemployment has remained low.

2. Don’t expect a hot start to the market in the new year, according to Fundstrat. Tom Lee is extremely bullish on 2024, but sees a potential market sell-off in the first quarter. Lee said the market could pull back as much as 5% by February or March. Here’s why he’s cautious.

3. Where the housing market is headed this year. Sky-high rates kept most buyers on the sidelines in 2023. But the Fed cutting rates and builders adding inventory means a break for the market. We rounded up predictions from a handful of experts.

Tech

Aslan Alphan/Getty Images

1. Good news: Venture funding is set to improve. Bad news: It’s still going to be tough. VCs are optimistic that investments in startups will start to pick up again. While it won’t return to the funding windfall that was 2022, it could return to levels seen in 2020.

2. Startups that went bust in 2023. Last year was brutal for young companies, with roughly 3,200 failing, according to PitchBook. These are some of the most notable names that bit the dust, including Bitwise Industries and Zume.

3. The people behind the YouTubers you can’t stop watching. Editors play a key role in helping YouTubers turn raw videos into viral content. But it’s still a nascent space with no defined career path. How 10 different editors broke into the industry and built their brand.

Business

Daniel Jurman for BI

1. Boomers aren’t the boogeyman. The elder generation takes a lot of heat from Gen Zers and millennials for being the root of all their problems. But in reality, boomers had it much tougher than younger generations and left America in better shape than they got it.

2. Here’s what got cheaper, and more expensive, in 2023. The price of stuff you don’t buy often, like cars and airline tickets, went down. But the costs of day-to-day items have been more stubborn.

3. Elon Musk is the one person the rich and powerful don’t seem to want to mess with. The world’s richest man isn’t afraid to pick a fight. But fellow executives and billionaires rarely fire back. 

In other news

• Millions of student-loan borrowers didn't get the broad relief they hoped for this year. 2024 could bring some of them a narrower version.
• She was trapped in a marriage for 10 years. Now she helps other 'chained' Orthodox Jewish women.
• The best illustrations and photos from Business Insider in 2023.
• I'm a former flight attendant. Here are 12 ways passengers ruin their experience on long-haul flights.
• EEOC takes up sexual harassment cases against Globe Life subsidiary.
• I'm an interior designer. These popular trends missed the mark this year — and I hope we don't bring them into 2024.
• The top 10 states people left in 2023.
• Here are the 10 best performing S&P 500 stocks in 2023 — and the 10 worst.
• DINKs in their 50s who are on track to retire early explain what being childfree has meant for their lifestyle and finances.
• What to eat in a day on the DASH diet according to a dietitian, to make following the heart-healthy plan easy.

What's happening today

• Crunching construction numbers. Data on construction spend in November is released by the US Census Bureau today.
• Seoul Music Awards. This year’s event takes place in Bangkok, Thailand, marking the first time the show has taken place outside South Korea.
• Happy Birthday, Taye Diggs! The actor shares his birthday with fellow thespians Dax Shepard, Kate Bosworth, and Tia Carrere.

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