Outside a handful of announcements at some high-profile tech companies, layoff activity across the economy remains near record-low levels.

According to Bureau of Labor Statistics (BLS) data released Wednesday, the layoff rate (i.e., layoffs as a percentage of total employment) was just 0.9% in May.

“Prior to the pandemic, the all-time low for the layoff rate was 1.1%,”1 Nick Bunker, economic research director at Indeed Hiring Lab, noted. “May was the 15th straight month the layoff rate was below that level.“

This might not be what you’d expect with economic data slowing. In fact, the Bureau of Economic Analysis says GDP contracted at a 1.6% rate in Q1, and the Atlanta Fed’s GDPNow model is pointing to a 2.1% contraction in Q2.

“If the labor market were quickly and suddenly taking a downturn, we would see employers’ demand for new hires drop and their willingness to let workers go increase,” Bunker said. “For now, we aren’t seeing a sudden move in either direction.“

Employers want to hang on to workers