The labor market is an important factor for the market as a whole as we continue to try to recover from the financial crisis. But there is an added importance for the banking industry that many investors may not consider. As the banks continue to perform in the sluggish economic conditions, it will be important for investors to know when a full turnaround may happen -- leading to increased performance by lenders like Wells Fargo (NYSE:WFC), which held 29% of the mortgage market in 2012.

In the video below, Motley Fool contributing writer Jessica Alling discusses why the labor market's recovery is important for banks, what investors should look for, and how a full recovery will effect the banking sector.