BambooHR
Workforce Insights
Monthly Report – June 2024
Welcome to the June edition of the BambooHR Workforce Insights report, where we delve into the latest trends shaping the world of employment.
Workforce Insights is powered by aggregated data trends from the millions of admins, managers, and employees who use BambooHR in the US and across the globe.
Hiring Up, Time Off Down in the Nonprofit Sector
New hires are up and donations from the ultra wealthy have increased, but nonprofit employees aren’t getting their PTO requests approved. What’s going on in the nonprofit sector this month?
From May to June 2024, the nonprofit industry saw the greatest increase in new hires, with a significant 15% rise. This was the only industry to report an increase in hiring during this timeframe, highlighting its unique position in the labor market dynamics of the period.
In terms of job stability and movement, June 2024 shows that the nonprofit sector had a new hire rate of 4%, a turnover rate of 1.4%, and job openings at 1.7%. These figures suggest a relatively active job market within the sector, with a higher proportion of new hires compared to construction, healthcare, and education.
However, despite this positive hiring trend, the nonprofit sector faced challenges with employee time off. Although 48% of nonprofit employees requested paid time off (PTO), the approval rate for these requests was only 43%, the lowest among all industries analyzed.
Hiring, Job Openings & Turnover
- Global turnover continues its declining trend from last year, at a 31% decrease from June 2023.
- New hires globally have also continued its downward trend, at a 17% decrease from June 2023.
- While hiring and turnover have decreased, job openings in the US are up 10% from June of last year.
- Following May’s increase in turnover, June showcases a drop in turnover for most industries in the US.
- Both globally and in the US, job openings are up compared to June 2023. In contrast, new hires and turnover have decreased significantly both since May of this year and since last June, indicating the “Big Stay” is in full effect.
MoM 7% ⇩ decrease
YoY 15% ⇩ decrease
MoM 6% ⇩ decrease
YoY 10% ⇧ increase
MoM 18% ⇩ decrease
YoY 28% ⇩ decrease
MoM 8% ⇩ decrease
YoY 17% ⇩ decrease
MoM 6% ⇩ decrease
YoY 5% ⇧ increase
MoM 15% ⇩ decrease
YoY 31% ⇩ decrease
US Hires, Job Openings & Turnover
Global Hires, Job Openings & Turnover
Industry Trends: Hiring, Job Openings & Turnover
- Travel/hospitality and construction had the highest proportion of hires in June, a continuation of the trend we’ve seen since March.
- The tech industry had the lowest proportion of hires, trading places with the restaurant, food & beverage industry, which had the second lowest in June and the lowest in May.
- Both industries also had the lowest number of job openings in June.
- Travel/hospitality and restaurant, food & beverage were the only two industries that had an increase in job openings from May 2024 to June 2024 at 11% and 5%, respectively.
- In the nonprofit sector, hires increased 15%—the only industry with an increase in hires from May to June.
- Nonprofit also ranks second, just after travel/hospitality, at 4% for new hires in June.
Regional Trends: Hiring, Job Openings & Turnover
- North America continues to have the highest percentage of hires, turnover, and job openings compared to other regions.
- Job openings were less than 1% for all regions in June.
- This could indicate that the “Big Stay” is a global phenomenon and isn’t specific to any one region or country.
- MEA has the lowest percentage of hires and turnover.
- Despite ranking second on hires, LATAM has the lowest amount of job openings.
- This could be a sign of slower or more stable growth in the region, where slow economic growth is predicted for this year.
Manager & Peer Reviews
- Globally, June saw the largest increase in reviews since February, as companies gear up for their summer/midyear review season.
- However, there was an 18% decrease in total reviews from June 2023 to June 2024, which is a significant change from last year.
- The US also had the highest increase in reviews since February, but an 11% decrease since June 2023—less than the global decrease, but still considerably lower than this time last year.
Reviews Are Down Across the Board
Both globally and in the US, peer reviews in particular showed a greater decrease from this time last year.
Globally, there was a 9% decrease in manager reviews but a more significant 19% decrease in peer reviews. In the US, the trend is similar but less pronounced, with a 5% decrease in manager reviews compared to a 13% decrease in peer reviews. This disparity suggests a shifting dynamic in how performance and contributions are being assessed within companies.
The decrease in peer reviews could indicate that organizations are shifting their focus away from peer feedback due to resource constraints or a change in feedback culture, influenced by factors like increased remote work which reduces peer interaction.
This reduction in peer reviews could affect the quality of feedback and employee morale. It's important for HR and organizational leaders to adapt their performance evaluation strategies to these changes to maintain effective employee development and engagement.
"HR professionals can adapt to the changing landscape of performance reviews by exploring innovative ways to incorporate peer feedback, especially in remote work environments. Encouraging regular communication and collaboration among team members can help maintain the valuable multidimensional perspective that peer reviews offer.
By staying informed about industry trends and leveraging technology where appropriate, HR can ensure that performance evaluation frameworks remain effective in supporting employee growth and morale."
Anita Grantham | Head of HR | BambooHR
US Manager & Peer Reviews
Global Manager & Peer Reviews
MoM 6% ⇧ increase
YoY 5% ⇩ decrease
MoM 7% ⇧ increase
YoY 13% ⇩ decrease
MoM 7% ⇧ increase
YoY 9% ⇩ decrease
MoM 10% ⇧ increase
YoY 19% ⇩ decrease
Employee PTO Requests & Approvals
- June shows the lowest number of global PTO requests since September of last year, and is the lowest June percentage since 2021.
- 40% of employees made requests, with only 50% approved.
- Requests are down 8% from May of this year.
- From June 2023 to June 2024, requests decreased by 6% while approvals decreased by 7%.
- Similarly, requests in the US dropped to the lowest point since September of last year.
- In June, slightly more than a third (35%) of US employees made PTO requests, with 52% approved.
- Requests are down 11% from May of this year.
- From June 2023 to June 2024, requests decreased by 7% while approvals decreased by 6%.
US Employee PTO Requests & Approvals
Global Employee PTO Requests & Approvals
Regional Trends: Employee PTO Requests & Approvals
- Regional PTO requests mirror trends seen this year, with no change in rankings and minimal change from May.
- Nearly two-thirds (61%) of European workers made PTO requests in June, with less than half being approved (45%).
- Europe leads in PTO requests while North America, APAC, and LATAM all land below 40%.
- Despite having the lowest number of PTO requests, LATAM continues to lead in PTO approval, with 61% of PTO being approved in May.
Industry Trends: Employee PTO Requests & Approvals
- Nonprofits, despite nearly half (48%) of employees requesting PTO, rank last at 43% for employees with PTO approved in June.
- The industry with the highest proportion of PTO requests in June was finance, followed by tech and nonprofits.
- Construction continues to rank first for PTO approved, consistently coming in at over 50%.
- Restaurant, food, and beverage continues to rank last in PTO requests, as it has all of 2024 so far.
Methodology
All source data is from the BambooHR platform, gathered between December 2018 and June 2024, and includes over 4.5 million employee data points across the globe.
The data includes employee and manager performance scores, PTO requests, and other data points that have been analyzed in an aggregated, anonymized way to protect the privacy of employees and the integrity of the metrics.
Turnover includes all types of separation of an employee from their company, including voluntary and involuntary separations.
About BambooHR
BambooHR® is the leading HR software solution that sets people free to do great work, by managing the complex work of supporting employees and succeeding as a business, while giving leaders all the data they need to make informed strategic decisions.
Intuitively designed and easy-to-use benefits administration, payroll, performance, time tracking, and reporting where everything works together means less focus on process and more focus on growing what matters most—people.
Over the past 15 years, BambooHR has been the trusted partner of HR professionals at 33 thousand companies with employees in over 190 countries and 50 industries, supporting millions of users throughout their employee experience.
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