stable. Data on May’s
the biggest drag on regional economic growth. May’s total of 1,141,500 workers was 54,000 below the February 2022 level, which was near a 40-year high. That gap has remained consistent over the past 12 months, suggesting that the smaller workforce is the result of demographic changes – specifically the accelerated pace of retirements – that will remain in effect going forward. Those changes ensure that the regional labor market will remain tight, which will help keep unemployment from increasing as the economy slows. Economic activity has been disrupted dramatically since March 2020. The path of the economy in summer 2022 seems clearer, if less upbeat. For businesses, the return to certainty means that planning for the future is easier. Even in the event of a recession, certainty allows businesses to prepare for new investment and growth. For commercial real estate, the question of whether or not the U.S. economy is technically in a recession or not is largely irrelevant. Most of the underlying trends
employment gains, which was released in late July, showed regional employers added 33,000 jobs year-over- year. The three
percent-plus gain ranked Pittsburgh on par with benchmark cities like
Columbus, Cleveland, Minneapolis, and Indianapolis, but was about half the job
Inflation for construction materials used in nonresidential building has peaked above 19 percent year-over-year. Source. Bureau of Labor Statistics, Federal Reserve Bank of St. Louis.
positions is a cushion that should keep unemployment from rising much beyond four percent.
growth rate of the fastest-growing markets.
The reduced size of the Pittsburgh non-farm labor force continues to be
In metropolitan Pittsburgh, the employment trends have also remained
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