U.S. job openings climb 7.4 percent in July; hires decrease 2.3 percent

The Job Openings and Labor Turnover Survey (JOLTS) published by the Labor Department on Wednesday revealed a 7.4 percent m-o-m climb in the U.S. job openings in July after a revised 7.4 percent m-o-m surge in June (originally a 6.2 percent m-o-m climb).

According to the report, employers posted 10.934 million job openings in July compared to the June figure of 10.185 million (revised from 10.073 million in the original estimate) and economists’ expectations of 10.000 million. This was the highest reading since the series began in December 2000. The job openings rate was 6.9 percent in July, up from an unrevised 6.5 percent in the previous month. The report showed that the job openings rose in several industries, with the largest gains in health care and social assistance (+294,000), finance and insurance (+116,000), and accommodation and food services (+115,000).

Meanwhile, the number of hires fell 2.3 percent m-o-m to 6.667 million in July from a revised 6.827 million in June (originally 6.719 million). The hiring rate was 4.5 percent in July, up from a revised 4.7 percent in the prior month (originally 4.6 percent). Hires declined in retail trade (-277,000), durable goods manufacturing (-41,000), and educational services (-23,000), but increased in state and local government education (+33,000) and in federal government (+21,000).

The separation rate in July was 5.786 million or 3.9 percent, compared to 5.612 million or 3.8 percent in June. Within separations, the quits rate was 2.7 percent (flat m-o-m), and the layoffs rate was 1.0 percent (+0.1 p.p. m-o-m).