Job growth in Texas is expected to slow in 2023, according to a report

Job growth in Texas is expected to slow starting in 2023, according to a forecast released this month by the Federal Reserve Bank of Dallas.

Economists say it’s a good time to prepare for a possible recession, but the combination of runaway inflation and low unemployment is unprecedented, making it difficult to forecast the future.

“This is unusual, almost like a polar bear on the beach. You don’t expect it,” said SMU economist Mike Davis. “We know that the Federal Reserve is playing a critical role in the economy. They are raising interest rates on auto and home loans, which will sooner or later dampen economic growth. We can expect the Federal Reserve to do well and have a soft landing, but there are no guarantees.”

How sharp interest rate rises affect your finances

Despite inflation, Texas has continuously added jobs in 2022, according to the Dallas Federal Reserve.

Over the past year, the Lone Star State will add 556,000 jobs over last year, according to projections. That’s an increase from 4.3% in 2022.

Other indicators create what is known as the “Leading Index.” The Dallas Fed says it is declining citing a decline in help-seeking advertising, a rise in jobless claims and falling oil prices.

“We all need to be aware that there is likely to be bad economic news at some point in the next year,” Davis said.

And while it’s shopping season, Davis says people need to be careful with their finances and their jobs, too.

Fed raises rate by three-quarters of a point in continued fight against inflation

“Make sure that if there’s a slowdown and people get laid off, you’re not one of those people.” he said. “If you hate your job, it’s still a good time to look for something else.”

Davis says that in unusual times like these, it may be best to hold off on big purchases like a new car.

A ‘help wanted’ sign is placed in front of the restaurant on February 4, 2022 in Los Angeles, California. – The United States added an unexpectedly strong 467,000 jobs in January, according to Labor Department data released today that also

US Congresswoman Beth Van Duyne, a member of the House Small Business Committee, addressed a luncheon Monday.

She told business leaders that she is working to address their concerns about supply chain and labor shortages, as well as inflation.

“The average American is paying $9,000 more than two years ago due to inflation. The hit is a paycheck. Gone is a paycheck, a full month’s salary,” Van Duyne said. “I’m making sure we’re prioritizing business in the US and not shackle it with unnecessary regulations.”

According to the US Bureau of Statistics and Labor, job growth in the Dallas-Fort Worth area is nearly double the overall US rate and the highest among the largest metropolitan areas .

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