The Job
Openings and Labor Turnover Survey (JOLTS) published by the Labor Department on
Wednesday showed a 3.0 per cent m-o-m decline in the U.S. job openings in July after
a downwardly revised 3.9 per cent m-o-m decrease (from -0.6 per cent m-o-m) in June.
According to
the report, employers posted 7.673 million job openings in July compared to the
June reading of 7.91 million (revised from 8.184 million in last month’s
report) and economists’ estimate of 8.100 million. This represented the lowest figure
since January 2021 (7.185 million). The job
openings rate came in at 4.6 per cent in July, down from a downwardly revised 4.8 per cent (from 4.9 per
cent) in the previous month. The report showed that the largest decreases in
job openings occurred in health care and social assistance (-187,000) state and
local government, excluding education (-101,000) and transportation,
warehousing, and utilities (-88,000). Meanwhile, the biggest advances took
place in professional and business services (+178,000) and federal government (+28,000).
At the same
time, the number of hires jumped
by 5.2 per cent m-o-m to 5.521 million in July compared to a downwardly revised
5.248 million (from 5.341 million) in June. The
hiring rate came in at 3.5 per cent, up
from a downwardly revised June reading of 3.3 per cent (from 3.4 per cent). Hires
grew in accommodation and food services (+156,000) but fell in federal
government (-8,000).
The separation
rate was 5.420 million (or 3.4 per cent) in July, up 6.6 per cent from a
downwardly revised June reading of 5.084 million (or 3.2 per cent). This marked
the highest reading since February (5.539 million). Within separations,
the number of quits reached 3.277 million (+2.0 per cent m-o-m) and the number
of layoffs
reached 1.762 million (+12.9 per cent m-o-m). The quits rate was 2.1 per cent (+0.1
p.p. m-o-m), and the layoffs rate was 1.1
per cent (+0.1 p.p. m-o-m).