🚨 If you ask me... I think the most worrying factor is that the decline in the unemployment rate appears to be mostly the result of people returning from temporary layoffs.

We’re in a new era—job openings plummeted to 8.83 million in July, marking a sharp decline of 338,000 positions in just one month.

Today’s August jobs report reminds us to please proceed with caution. Just 𝟏𝟒𝟐,𝟎𝟎𝟎 𝐣𝐨𝐛𝐬 𝐚𝐝𝐝𝐞𝐝 when 𝐞𝐜𝐨𝐧𝐨𝐦𝐢𝐬𝐭𝐬 expected 𝟏𝟔𝟓,𝟎𝟎𝟎.

Quick Breakdown:

• Jobs Added: 142,000 (versus 165,000 expected)

• Healthcare Jobs: +31,000

• Construction Jobs: +34,000

• Downward Revision for June/July: -86,000

• Unemployment Rate: 4.2% (down by 0.1%)

• Labor Force Participation: Flat at 62.7%

• Rate Cut Likely: Fed leaning toward lowering the federal funds rate

The initially reported numbers have consistently been revised down in subsequent months - meaning August probably will be as well!

Will healthcare and construction hold the line, with 31,000 and 34,000 jobs added? Is that enough to keep the broader market afloat? I'm not sure.

𝐓𝐡𝐞 𝐮𝐧𝐞𝐦𝐩𝐥𝐨𝐲𝐦𝐞𝐧𝐭 𝐫𝐚𝐭𝐞 𝐝𝐢𝐩𝐩𝐞𝐝 𝐭𝐨 𝟒.𝟐%, 𝐛𝐮𝐭 𝐭𝐡𝐚𝐭’𝐬 𝐦𝐨𝐫𝐞 𝐚𝐛𝐨𝐮𝐭 𝐩𝐞𝐨𝐩𝐥𝐞 𝐫𝐞𝐭𝐮𝐫𝐧𝐢𝐧𝐠 𝐟𝐫𝐨𝐦 𝐭𝐞𝐦𝐩𝐨𝐫𝐚𝐫𝐲 𝐥𝐚𝐲𝐨𝐟𝐟𝐬 𝐭𝐡𝐚𝐧 𝐚 𝐬𝐢𝐠𝐧 𝐨𝐟 𝐫𝐞𝐚𝐥 𝐬𝐭𝐫𝐞𝐧𝐠𝐭𝐡.

𝐀𝐧𝐝 𝐭𝐡𝐞 𝐥𝐚𝐛𝐨𝐫 𝐟𝐨𝐫𝐜𝐞 𝐩𝐚𝐫𝐭𝐢𝐜𝐢𝐩𝐚𝐭𝐢𝐨𝐧 𝐫𝐚𝐭𝐞? 𝐒𝐭𝐮𝐜𝐤 𝐟𝐥𝐚𝐭 𝐚𝐭 𝟔𝟐.𝟕%. 𝐍𝐨 𝐦𝐨𝐯𝐞𝐦𝐞𝐧𝐭 𝐭𝐡𝐞𝐫𝐞.

As someone watching everything in the career ecosystem from both sides- this isn't yellow- it's red. Not today... but what's coming.

But the shrinking job market is only half the story.

The real game-changer? AI is now the primary gatekeeper in recruiting, and if you’re not adapting, you’re going to be left behind. Companies are getting smarter, using advanced AI systems to screen, assess, and even reject applications before a human ever sees them. You’re no longer just competing with other job seekers—you’re up against powerful algorithms designed to weed out anything that doesn’t check every box.

AI vs. AI: The Battle You Can’t Ignore

Let’s get into the stats: a recent Capterra report shows that nearly 50% of job seekers are using AI tools to “cheat” the system, customizing their resumes to game applicant tracking systems (ATS). But companies aren’t blind to this. AI-powered recruiting tools are evolving rapidly, now being deployed to detect inconsistencies in these AI-generated applications. 55% of recruiters are already using AI tools to catch these cheats, and they’re getting better at it.

Here’s the shocking part: over 78% of candidates who used AI to embellish their resumes were caught and disqualified. The Capterra report also highlighted that one in four recruiters admitted to disqualifying candidates based solely on the results of AI screenings.

Do you still want to use ChatGPT to write your resume when it HURTS your job search?

👇👇👇👇👇👇👇

Employers Are Picky—and Cautious

This tightening of the job market isn’t just about AI doing the heavy lifting—employers are becoming ruthlessly selective. According to the Federal Reserve Beige Book, businesses are pausing hiring, especially in sectors like construction and retail, citing uncertainty in demand. Companies are slashing their job postings and relying on internal networks or promoting from within.

The JOLTS report backs this up, showing that companies are filling fewer roles and focusing on only the most essential positions. With the rise of AI tools in recruiting, companies no longer need massive job boards or expensive recruiters to sift through resumes—they’re relying on advanced tech to do that for them.

Cheating with AI Won’t Work Anymore

If you think you can beat the system by using AI to “optimize” your resume, think again. The Capterra report lays out some sobering numbers:

The bottom line? If your resume looks like it’s been over-optimized or manipulated, it’s going to get flagged. Authenticity is becoming the most valuable asset in the job market.

What This Means for Your Job Search

Here’s the deal: the game has changed, and the tactics you might have used to get past the gatekeepers no longer work. You’re up against AI that can analyze your resume faster and more accurately than any human recruiter. If you want to stand out, you need to be smarter, more authentic, and more strategic than ever.

1. Stop Relying on AI to Beat the System

If you’ve been using AI tools to enhance your resume, it’s time to rethink your strategy. AI vs. AI is real, and the companies hiring you have better tools. Instead of relying on tricks, focus on tailoring your resume honestly to the job. Highlight genuine skills, not just keywords that might get you through the initial scan.

2. Leverage the Hidden Job Market

With open job postings dwindling, the hidden job market—roles filled through networking and internal recommendations—has never been more important. Up to 70% of jobs are never posted publicly. If you’re not building and nurturing relationships, you’re already at a disadvantage. Use platforms like LinkedIn to connect with decision-makers and stay in the loop for opportunities that never hit the job boards.

3. Prioritize Growth Industries

Not all sectors are shrinking. Industries like AI, healthcare, green energy, and cybersecurity are expanding. These fields are less impacted by hiring freezes and are more likely to invest in long-term talent. If you’re in a shrinking industry, it’s time to pivot.

4. Invest in Upskilling

The job market is tight, and employers are looking for candidates with future-proof skills. Whether it’s data analysis, cybersecurity, or healthcare tech, start learning the skills that will keep you competitive in 2024 and beyond. McKinsey predicts that AI and automation will create millions of new jobs by 2030, but they’ll require entirely new skill sets.

The Future of Recruiting: Less Human, More Algorithm

The future of hiring is going to be less human and more algorithm-driven. As companies continue to adopt AI, the role of human recruiters will diminish, leaving the AI gatekeepers as the primary decision-makers. This means you need to understand how these systems work. It’s not just about keywords—it’s about precision, clarity, and relevance. If your resume doesn’t hit the mark in these areas, it’s going to be filtered out long before a person ever sees it.

How to Adapt to This New World

The job market is shrinking, AI is revolutionizing recruiting, and employers are getting more selective than ever. You need to understand the new rules of the game, and the old strategies won’t cut it anymore.

The companies hiring aren’t just looking for talent—they’re using technology to filter out anything that doesn’t align perfectly with their needs.

The bottom line? Be authentic, stay sharp, and adapt.

You’re not just competing against other job seekers—you’re up against the most sophisticated AI systems companies have ever used.

The sooner you adjust, the better your chances of thriving in this new hiring landscape.