The new year is just a month old, but the job market is off to a great start. According to the latest U.S. Talent Market Monthy the U.S. job market saw its best January performance in six years as the hiring momentum that got underway during the final months of 2011 carried over into the new year. Monthly job creation continues to accelerate, now averaging more than 180,000 over the past five months – a pace that has clearly contributed to the recent steady decline in unemployment.

Some Highlights:

- U.S. payrolls jumped by 243,000 in January as the economic momentum that began during the final quarter of 2011 carried over into new year.

- The economy expanded at its fastest rate in more than a year during the fourth quarter, but mixed results in January’s consumer confidence readings have some analysts still forecasting growth rates to cool in the coming months.

- Job creation is expected to continue, but the pace will be determined by how well the U.S. economy withstands the challenges coming from Europe and within its own borders.

The U.S. economy has now reached a level of growth needed to support meaningful job creation. However, the pace of job creation will likely hinge on how well the economy can withstand the pressures coming from the European debt crisis, a still weak U.S. housing market and ongoing political gridlock as it enters an election year. If the economy can sustain even modest growth rates this year, the labor market should be capable of takinganother significant step forward in 2012.

Read more on the latest labor market trends in the February edition of the U.S. Talent Market Monthy.