US Hiring Quickest In Nearly Two Years, Alternative Metric Shows

Key Takeaways

• Revelio reports 123,717 jobs added in May, double April.
• Gains strongest in public administration, construction, health care.
• Professional and business services added 19,000 jobs per JOLTS.
• ADP shows private‑sector hiring strongest of Trump’s second term.
• Initial jobless claims rose to 225,000; four‑week average 214,750.

Pulse Analysis

Alternative labor metrics have gained prominence as analysts seek more immediate insight into hiring trends. Revelio Labs aggregates data from over 100 million professional profiles, generating a near‑real‑time payroll count that complements the monthly Bureau of Labor Statistics releases. By capturing individual‑level activity, the series can detect sharp month‑to‑month shifts—evident in May’s 123,717 jobs, a jump that outpaces the official non‑farm payrolls and signals renewed momentum in sectors traditionally sensitive to fiscal policy, such as public administration and construction.

The May figures dovetail with other private‑sector indicators. The JOLTS report highlighted a 19,000‑job gain in professional and business services, echoing an ADP surge that marked the strongest private‑sector hiring of the second Trump administration. Meanwhile, job openings in professional services hit a record in April, suggesting that demand for skilled labor remains elevated. Health care and social assistance also posted solid gains, reinforcing the sector’s role as a buffer against broader economic headwinds.

For policymakers and investors, the convergence of strong hiring impulses and modestly rising unemployment claims paints a nuanced picture. While the labor market appears resilient, the uptick in initial claims to 225,000 hints at emerging frictions that could temper wage growth. The Fed may interpret the data as evidence that inflationary pressures are easing without sacrificing employment, potentially influencing the timing of rate adjustments. Market participants should monitor both alternative metrics like Revelio and traditional reports to gauge the durability of the current hiring surge.