JOLTs: Job Openings Increase Modestly

Bottom Line: The reported level of vacancies rose and put the January level 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 fell slightly to 2.0%, while the layoff & discharge rate was unchanged at 1.2%. The number of job openings as a % of short-term unemployed (less than 27 weeks) is now 97% vs 91% last month. Job Openings ROSE by 260k in January to 5.541 million, compared with market expectations of an increase to 5.500 million. The prior month was revised slightly lower from 5.607 million to 5.281 million. Government job openings FELL by 29k. Consequently, private sector job openings ROSE by 289k. Over the past 12 months, there were 569k more job openings and they are now 884k above their March 2007 pre-recession peak level. Job Hires FELL by 372k in January to 5.029 million. Over the past 12 months, there were 23k more job hires, still 440k below their November 2006 pre-recession peak level. Job Separations FELL by 225k in January to 4.903 million. Over the past 12 months, there were 20k more job separations Workers are still quitting less than at the May 2006 pre-recession peak level. The Hires to Job openings ratio FELL by 0.12 points from 1.02 to 0.91 and is modestly below its 12 month average of 0.96. The Number of Unemployed to Job openings ratio FELL by 0.09 points from 1.50 to 1.41 and is moderately below its 12 month average of 1.53. This ratio has been declining since its July 2009 peak of 6.7 amid some volatility.