Even though the economy appears to be growing, job creation has been sluggish. Economists explain this by the ability of businesses to expand without increasing hiring. Employers have used methods such as labor-saving equipment or mergers to increase efficiency without increasing their payroll. Increased competition, healthcare premiums and wariness over economic stability have been cited as reasons for this trend.
See "Economy's Growing, but Where Are the New Jobs?", Nicholas Riccardi, Los Angeles Times, February 14, 2005