U.S. job openings decrease 3.0 percent in August; hires rise 0.3 percent

The Job Openings and Labor Turnover Survey (JOLTS) published by the Labor Department on Tuesday revealed a 3.0 percent m-o-m drop in the U.S. job openings in August after a revised 11.6 percent m-o-m surge in July (originally a 10.3 percent m-o-m jump).

According to the report, employers posted 6.493 million job openings in August compared to the July figure of 6.697 million (revised from 6.618 million in the original estimate) and economists’ expectations of 6.685 million. The job openings rate was 4.4 percent in August, down from an upwardly revised 4.6 percent in the prior month. The report showed that the number of job openings edged down for total private (-242,000 jobs) and was little changed for government. Job openings declined in construction (-68,000), and information (-25,000).

Meanwhile, the number of hires edged up 0.3 percent m-o-m to 5.919 million in August from a revised 5.903 million in July. The hiring rate was 4.2 percent in August, unchanged from a revised 4.2 percent in July. The hires rose in federal government (+246,000), largely because of the temporary 2020 Census hiring. Hires also increased in durable goods manufacturing (+41,000). These gains, however, were offset by declines in hires in accommodation and food services (-177,000), health care and social assistance (-73,000), and real estate and rental and leasing (-28,000).

The separation rate in August was 4.594 million or 3.3 percent, compared to 4.988 million or 3.6 percent in July. Within separations, the quits rate was 2.0 percent (-0.1 pp m-o-m), and the layoffs rate was 1.0 percent (-0.3 pp m-o-m).