The year is almost over. As such, now seem like a good time to review how financial employment did in 2018.
There are two charts here. The first compares growth in financial employment with other major sectors. The second compares growth in financial industry employment by president for the first almost 2 years in office.
Before looking, which industry would you guess won 2018? Perhaps the financial industry? What the health care sector, construction sector, or education sector? Any of these sectors boom more than others in 2018? Maybe the tech sector shows up on top? Life has been good in the tech sector recently.
What about looking at how financial industry jobs have expanded by president? Would you guess Trump has been good or bad for the finance sector? Would you guess Trump beats Obama?
The looks follow.
Financial Industry vs. Other Sectors
First, here’s the look at growth in finance jobs vs. growth in other industries. Surprised by top growing industry? Natural Resources – mining, drilling, and the like – looks like it will end 2018 on top. Through November, Natural Resources firms have added jobs at a 3.8% pace.
In second place is Construction at 3.4%. Rounding out the top 5 are Professional & Business Services (2.6%), Manufacturing (2.0%), and Education & Health Services (1.9%).
The industry of interest – Finance – comes in middle of the pack at 1.3%. Decent. Definitely stronger than what we’ve seen in prior years, but nowhere near the boom and eventual bust of the volatile Natural Resources and Construction industries.
The Financial Industry by President
Next, here’s a look at growth in financial industry jobs by president. Are you surprised? On top of the list is President Truman. During his first couple years in office, finance grew by a whopping 18.4%. Almost unbelievable by today’s standards.
In second place is the Carter administration at 10.6%. Eisenhower, Nixon, Johnson, and Roosevelt also show up on top of the list.
Shifting to presidents since the 1980s, the top modern president was Clinton at 3.7%. Not bad. President Trump comes in second at 2.68%.
Reagan at 2.1%, Bush II at 2.0%, Bush I at 1.3% round out the other 3 presidents with growth.
Obama shows upon the bottom of the list. During his first two years in office, Obama saw financial industry employment decline by a massive 4.2%.
Overall, it wasn’t a good experience working in finance during Obama’s first 2 years in office. The evidence so far for the Trump administration suggests that’s turning around in a healthy way.
Conclusion
In sum, the finance industry is doing fairly well in 2018. Employment is looking up. Part of that may stem simply from the business cycle and part may stem from more favorable policies of presidential administrations. All in all, it’s still a good time to be working in finance.
Comments on this entry are closed.