Job Openings and Labor Turnover: March 2006

Historical release narrative reproduced from the official public-domain source. Statistical tables, standard technical appendices, administrative material and attendance rosters are omitted; formatting is adapted for reading. Figures retain the release's historical context and may have been revised. Consult the linked source for the complete document.

The job openings, hires, and total separations rates showed little or no change in March, the Bureau of Labor Statistics of the U.S. Department of Labor reported today. This release includes estimates of the number and rate of job openings, hires, and separations for the total nonfarm sector by industry and geographic region.

Job Openings

On the last business day of March 2006, there were 4.0 million job openings in the United States, and the job openings rate was 2.9 percent. The job openings rate was unchanged over the month but has generally trended upward since September 2003. In March, the job openings rates decreased in leisure and hospitality and in the Midwest. The industries with the highest seasonally adjusted job openings rates in March 2006 were professional and business services (3.8 percent), education and health services (3.7 percent), and leisure and hospitality (3.5 percent). (See table 1.)

Over the year, the job openings rates increased in many industries and in the West region; none of the industries or regions experienced a signif- icant decrease in their job openings rates from the prior year. (See table 5.)

Hires and Separations

The hires rate was essentially unchanged at 3.6 percent in March. Hires are any additions to the payroll during the month. Over the month, the hires rate did not change significantly in any industry but decreased in the South. In March, the seasonally adjusted hires rate was highest in the leisure and hospitality industry (7.3 percent). (See table 2.)

From March 2005 to March 2006, the hires rates rose in accommodation and food services and in federal government. Industries with over-the-year de- clines in their hires rates were: construction; information; and healthcare and social assistance. The only significant over-the-year change in the hires rates for the regions was a decrease in the South. (See table 6.)

The total separations, or turnover, rate was unchanged at 3.4 percent in March. Separations are terminations of employment that occur at any time during the month. In March, the total separations rates increased in construction and government and in the West region. (See table 3.)

Total separations include quits (voluntary separations), layoffs and discharges (involuntary separations), and other separations (including retirements). The quits rate, which can serve as a barometer of workers' ability to change jobs, rose slightly to 2.1 percent in March. The quits rate did not change significantly for any particular industry; however, rates rose at the total nonfarm, total private, and total government levels. The quits rate also rose in the Midwest region. In March, the seasonally adjusted quits rate was highest in the leisure and hospitality industry (4.7 percent), which also had the highest hires rate. (See table 4.)

The other two components of total separations--layoffs and discharges, and other separations--are not seasonally adjusted. From March 2005 to March 2006, the layoffs and discharges rate fell to 0.9 percent, with decreases for total private and three of the four regions--the Northeast, South, and Midwest. For March 2006, the construction industry had the highest layoffs and discharges rate. From March 2005 to March 2006, the other separations rate was unchanged at 0.2 percent at the total nonfarm level, but did increase in the West. (See tables 9 and 10.)

Hires and separations data help show dynamic flows in the labor market. Over the last 12 months, hires have averaged 4.8 million per month and separations have averaged 4.5 million per month (not seasonally adjusted). The comparable figures a year earlier were 4.7 million hires and 4.4 mil- lion separations. (See the Technical Note for additional information on these measures.)

For additional information, please read the Technical Note or visit the JOLTS Web site at http://www.bls.gov/jlt/. Additional information about JOLTS also may be obtained by e-mailing Joltsinfo@bls.gov or by calling (202) 691-5870.

The Job Openings and Labor Turnover release for April 2006 is scheduled to be issued on Tuesday, June 6, 2006.