JOLTs: Job Openings Decline Moderately

December 8, 2015
Job Openings FELL by 151k in October to 5.383 million, compared with market expectations for a decline to 5.500 million. The prior month was revised slightly higher from 5.526 million to 5.534 million. Government job openings ROSE by 3k. Consequently, private sector job openings FELL by 154k. Over the past 12 months, there were 534k more job openings, 726k above their March 2007 pre-recession peak level. Job Hires ROSE by 57k in October to 5.137 million. Over the past 12 months, there were 31k more job hires, still 332k below their November 2006 pre-recession peak level. Job Separations FELL by 23k in October to 4.863 million. Over the past 12 months, there were 43k more job separations Workers are still quitting less than at the May 2006 pre-recession peak level. The Hires to Job openings ratio ROSE by 0.04 points from 0.92 to 0.95 and is still modestly below its 12 month average of 0.97. The Number of Unemployed to Job openings ratio ROSE by 0.04 points from 1.43 to 1.47 but is still moderately below its 12 month average of 1.62. This ratio has been declining since its July 2009 peak of 6.7 amid some volatility. Bottom Line: The reported level of vacancies fell but the October level was still modestly above its 12-month average. On a trend basis job openings are increasing at a pace somewhat faster than hires. Across all industries net hiring was still positive. The quit rate was unchanged at 1.9%, while the layoff & discharge rate fell slightly to 1.2%. The number of job openings as a % of short-term unemployed (less than 27 weeks) is now 93% vs 95% last month.
Article by contingentmacro