U.S. job openings tumble 16.1 percent in April

The Job Openings and Labor Turnover Survey (JOLTS) published by the Labor Department on Tuesday revealed a 16.1 percent m-o-m drop in the U.S. job openings in April after a revised 14.2 percent m-o-m decline in March (originally an 11.6 percent m-o-m decrease).

According to the report, employers posted 5.046 million job openings in April (the lowest level since December 2014) compared to the March figure of 6.011 million (revised from 6.191 million in original estimate) and economists’ expectations of 5.000 million. The job openings rate was 3.7 percent in April, down from a revised 3.8 percent in the prior month (originally 3.9 percent). The report showed that job openings decreased in total private (-883,000 jobs) and in government (-82,000). Among the industries, the largest declines were in professional and business services (-309,000), health care and social assistance (-115,000), and retail trade (-113,000).

Meanwhile, the number of hires plunged by 31.1 percent m-o-m to a series low of 3.524 million in April from a revised 5.111 in March. The hiring rate decreased to 2.7 percent in April from an unrevised 3.4 percent in March. The hires level dropped for total private (-1,439,000) and for government (-148,000). Hires declined in a number of industries, with the largest declines in professional and business services (-422,000), accommodation and food services (-247,000), and construction (-196,000).

The separation rate in April was 9.888 million (the second-highest level in series history) or 7.5 percent, compared to a record 14.643 million or 9.7 percent in March. Within separations, the quits rate was 1.4 percent (-0.4 pp m-o-m), and the layoffs rate was 5.9 percent (-1.7 pp m-o-m).