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Texas Labor Market: opportunities amid challenges for HR professionals

As Texas navigates a post-pandemic landscape, the labor market demonstrates resilience yet faces unique challenges. The state, known for its robust economy, is grappling with a worker shortage – only 80 available workers for every 100 job vacancies.

Prior to the pandemic, Texas had a robust labor market, with a sufficient number of workers to nearly meet the demand for vacant positions. The rate at which employees left their jobs was 2.7%, and the rate of new hires was 4.2%. The unemployment rate in Texas, at 3.5%, reflected the national average, and the percentage of people participating in the labor force, at 63.8%, was comparable to the national figure, according to the U.S. Chamber of Commerce

The Texas Labor Market includes a significant manufacturing sector, which is a vital component of the state's workforce
The Texas Labor Market includes a significant manufacturing sector

Texas stands as a business hub, with a diverse array of industries from agriculture to technology. This diversity is reflected in its workforce, where a significant portion is employed in small businesses, including a notable percentage in women-owned, minority-owned, and veteran-owned companies.

For HR professionals in the manufacturing sector, these dynamics present a complex yet promising landscape. The state's economic diversity, coupled with a strong educational foundation, provides a fertile ground for talent acquisition and development. However, the current worker shortage requires strategic thinking and innovative approaches to attract and retain the best talent.

To help you in this process, we have a strong team that has a portfolio of prospects in various areas of the industry that will satisfy you and save you the work of searching for talent. We do it for you.

As Texas continues to grow, understanding these multifaceted aspects of its labor market is essential. The state offers a unique blend of opportunities and challenges, demanding a nuanced approach to workforce management and recruitment in the manufacturing industry.

According to the U.S. Chamber of Commerce, Texas has 774,000 job openings, an unemployment rate of 4.1%, a quit rate of 2.7% and a hiring rate of 3.8%.

Top industries of employment

Trade, transportation and utilities 19.9%

Professional and business services 15.2%

Government 14.7%

Education and health services 13.5%

Leisure and hospitality 10.6 %

Manufacturing 6.9%

Other 6.7%

Construction 5.8%


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