Global| Oct 16 2015U.S. JOLTS: Job Openings Rate Declines; Hiring Rate Remains Stable
by:Tom Moeller
|in:Economy in Brief
Summary
The job openings rate declined to 3.6% during August from July's cycle-high of 3.8%. It nevertheless remained up versus 3.4% one year earlier. The job openings rate is the number of job openings on the last business day of the month [...]
The job openings rate declined to 3.6% during August from July's cycle-high of 3.8%. It nevertheless remained up versus 3.4% one year earlier. The job openings rate is the number of job openings on the last business day of the month as a percent of total employment plus job openings. The hires rate remained stable at 3.6%, up from 3.4% in August 2014. The hires rate is the number of hires during the month divided by employment. The Bureau of Labor Statistics reports these figures in its Job Openings & Labor Turnover Survey (JOLTS).
The actual number of job openings pulled back m/m to 5.370 million but still was 9.0% higher versus last year. An 8.9% y/y rise in private sector openings was led by a 20.1% y/y gain in professional & business services. That was followed by 12.5% y/y increase in health care & social assistance jobs. Factory sector openings increased 8.8% y/y but leisure & hospitality jobs improved just 1.7% y/y. In the government sector, job openings jumped 10.3% y/y.
The number of hires improved slightly m/m to 5.078 million (6.0% y/y). Private sector hiring increased 5.0% y/y reflecting a 16.8% y/y rise in health care & social assistance as well as a 13.6% increase in leisure & hospitality jobs. Factory sector employment increased 9.5% y/y, but professional & business services employment eased 2.3% y/y. Government hiring rose by roughly one-quarter y/y.
The total job separations rate remained stable m/m at 3.4% as separations increased 6.1% y/y. Factory sector separations increased 16.7% y/y but professional & business services separations fell 1.2% y/y. Leisure & hospitality separations rose 11.7% y/y and they increased 8.3% y/y in retail trade. Separations include quits, layoffs, discharges, and other separations as well as retirements. The layoff & discharge rate held steady at 1.2% m/m and y/y. The private sector rate of 1.3% compared to 0.5% in the public sector. Layoffs overall rose 1.5% y/y.
The JOLTS survey dates to December 2000 and the figures are available in Haver's USECON database.
| JOLTS (Job Openings & Labor Turnover Survey, SA) | Aug | Jul | Jun | Aug '14 | 2014 | 2013 | 2012 |
|---|---|---|---|---|---|---|---|
| Job Openings, Total | |||||||
| Rate (%) | 3.6 | 3.8 | 3.6 | 3.4 | 3.4 | 2.8 | 2.6 |
| Total (000s) | 5,370 | 5,668 | 5,323 | 9.0% | 22.6% | 9.3% | 3.2% |
| Hires, Total | |||||||
| Rate (%) | 3.6 | 3.6 | 3.7 | 3.4 | 42.2 | 39.8 | 38.8 |
| Total (000s) | 5,078 | 5,065 | 5,182 | 6.0% | 8.4% | 3.4% | 4.2% |
| Layoffs & Discharges, Total | |||||||
| Rate (%) | 1.2 | 1.2 | 1.3 | 1.2 | 14.5 | 14.6 | 15.5 |
| Total (000s) | 1,688 | 1,646 | 1,779 | 1.5% | 2.4% | -4.9% | 1.1% |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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