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Job Market Trends in Southern California: Which Industries Are Hiring?

Southern California ended 2024 with record employment numbers, but not every industry was in a hiring mood.

State job data shows that Los Angeles, Orange, Riverside, and San Bernardino counties reached an all-time high of 8.1 million jobs in December, adding 79,300 positions over the year. However, while there was an increase of 7,200 jobs from November, that number falls short of the pre-pandemic December hiring average of 14,640 between 2015 and 2019.

Industries That Saw Growth

Despite the usual year-end slowdown, a few industries outpaced historical hiring trends, reflecting strong holiday shopping and seasonal demand.

Logistics and Warehousing

With online shopping booming, warehouse and logistics workers were in high demand. The logistics and utilities sector had 839,500 workers in December, an increase of 5,900 jobs from the previous month, exceeding the pre-pandemic December average of 5,300. Over the past year, the sector added 12,400 jobs.

Retail

In-person shopping also showed signs of recovery. The retail sector employed 771,300 workers in December, adding 5,200 jobs for the month, slightly above the 2015-2019 December average of 5,000. Year-over-year, retail employment increased by 5,500, suggesting that consumers are returning to physical stores.

Full-Service Restaurants

Dining out contributed to job growth in the restaurant industry. Sit-down restaurants employed 337,000 workers in December, adding 300 jobs compared to the typical pre-pandemic trend of 240 job cuts in December. Over the year, the sector gained 1,600 jobs.

Other Expanding Sectors

While only half of the 12 major business sectors in Southern California experienced job growth in December, some showed notable increases:

  • Information (Tech & Media): 221,400 workers, up 4,500 for the month and 1,900 for the year

  • Healthcare: 846,700 workers, up 900 for the month and 32,300 for the year

  • Hotels, Entertainment & Recreation: 268,100 workers, up 900 for the month and 3,000 for the year

  • Personal Services (Salons, Dry Cleaning, etc.): 266,800 workers, up 700 for the month and 200 for the year

  • Fast-Food Restaurants: 359,200 workers, up 500 for the month and 3,800 for the year

  • Financial Services: 362,800 workers, up 200 for the month and 1,600 for the year

Industries That Cut Jobs

Not all sectors experienced growth. Several industries saw job losses at the end of 2024, with some facing significant declines:

  • Construction: 368,900 workers, down 3,800 for the month and 8,900 for the year

  • Private Education: 216,900 workers, down 3,100 for the month but up 6,100 for the year

  • Government: 1.04 million workers, down 2,500 for the month but up 13,800 for the year

  • Professional & Business Services: 1.14 million workers, down 1,600 for the month and 1,000 for the year

  • Manufacturing: 555,900 workers, down 600 for the month and 18,000 for the year

  • Social Assistance (Nonprofits, Welfare Services): 514,300 workers, down 300 for the month but up 25,000 for the year

What This Means for Southern California Residents

For job seekers, industries like logistics, retail, healthcare, and hospitality continue to offer opportunities, while fields such as construction and manufacturing may present more challenges. The data also suggests that seasonal hiring helped boost employment in December, particularly in sectors tied to holiday spending.

While overall employment remains strong, Southern California’s job market is shifting. Long-term trends will depend on economic factors like consumer spending, business investment, and government policies. For now, job seekers should focus on growing industries while being mindful of those experiencing declines.

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