Tuesday, October 3, 2023: JOLTS Report – Job Openings Increased by 690k in August, Rate Increased to 5.8%
Signs of a buoyant economy…Not what the Federal Reserve wanted to hear
Recruiters are working hard. The number of job openings in August was 9,610,000 – an increase of 690,000 from July’s adjusted figure of 8,920,000 – the U.S. Bureau of Labor Statistics (BLS) stated in its Job Openings and Labor Turnover Survey (JOLTS) Report for August 2023. The job openings rate rose to 5.8 percent compared to 5.4 percent in July. (The bigger the rate, the more jobs there are available compared to those jobs already filled).
As the Federal Reserve Board tries to stifle again rising inflation by raising interest rates in an effort to dampen employment growth, it now finds itself in conflict with the Biden Administration’s legislative achievements to increase employment. The 2021 “Build Back Better Act,” supporting 2.3 million jobs per year for five years, and the “Bipartisan Infrastructure and Jobs Bill” pumping over a Trillion Dollars into jobs and materials this year and for the next several years, is this Administration’s plan to reduce the unemployment numbers in the U.S.
In August, job openings increased in professional and business services (+509,000), finance and insurance (+96,000), state and local government education (+76,000), nondurable goods manufacturing (+59,000), and the federal government (+31,000).
Hires, Total Separations, Quits & Other Separations Up, Layoffs/Discharges Down Slightly
The number of hires in August was 5,857,000 compared to the adjusted 5,822,000 number for July (+35,000). The rate held steady at 3.7 percent. The number of hires changed little in all industries.
Total separations were 5,676,000 for August, compared to 5,638,000 for July (+38,000). The rate held steady at 3.6 percent. Over the month, the number of total separations increased in accommodation and food services (+105,000) but decreased in information (-41,000) and the federal government (-8,000).
Within separations, quits in August were 3,638,000 up a bit from 3,619,000 in July (+19,000). The rate held steady at 2.3 percent. The number of quits increased in accommodation and food services (+88,000); finance and insurance (+28,000); state and local government, excluding education (+21,000); and arts, entertainment, and recreation (+18,000). The number of quits decreased in information services (-30,000).
Layoffs and discharges in August were 1,680,000, down a smidge from 1,681,000 in July (-1,000). The percentage rate remained steady at 1.1. The number of layoffs and discharges decreased in state and local government, excluding education (-39,000), but increased in state and local government education (+27,000).
The number of other separations was 357,000 in August, an increase from 338,000 in July (+19.000) The percentage rate remained steady at 0.2.
BLS posted interactive graphs here.
Three-Month Comparison Chart of Job Openings vs. Jobs Filled
Our below table reports the number of available jobs (as taken from the revised JOLTS reports) from the last four months of available data, as revised.
*April Job Openings were 10,320,000
Note: BLS is scheduled to release the JOLTS Report for September 2023 on Wednesday, November 1, 2023