Job Openings and Labor Turnover: April 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 rate was unchanged, while the hires and total separations rates decreased in April, the Bureau of Labor Statistics of the U.S. Depart- ment 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 April 2006, there were 4.1 million job open- ings in the United States, and the job openings rate was 2.9 percent. The job openings rate was unchanged over the month in every industry and region, but the overall rate has generally trended upward since September 2003. The industries with the highest seasonally adjusted job openings rate in April 2006 were professional and business services (4.1 percent), leisure and hospi- tality (3.8 percent), and education and health services (3.7 percent). (See table 1.)

Over the year, the job openings rate increased in several industries, with the largest gains in information and educational services. The job openings rate also increased over the year in three of the four regions--the Northeast, South, and West. None of the industries or regions experienced a significant decrease in their job openings rate from the prior year. (See table 5.)

Hires

The hires rate decreased to 3.4 percent in April. Hires are any additions to the payroll during the month. Over the month, the hires rate increased in education and health services and decreased in trade, transportation, and util- ities; leisure and hospitality; government; and in the Midwest region. In April, the seasonally adjusted hires rate was highest in the leisure and hospitality industry (5.8 percent). (See table 2.)

From April 2005 to April 2006, the hires rate rose in educational services, but fell in construction and health care and social assistance. The hires rate did not change significantly over the year in any geographic region. (See table 6.)

Separations

The total separations, or turnover, rate declined to 3.3 percent in April. Separations are terminations of employment that occur at any time during the month. In April, the total separations rate decreased in manufacturing, govern- ment, and in the South region. (See table 3.)

Total separations include quits (voluntary separations), layoffs and dis- charges (involuntary separations), and other separations (including retire- ments). The quits rate, which can serve as a barometer of workers' ability to change jobs, dropped to 1.8 percent in April. The quits rate declined in the manufacturing industry and in the South region. In April, the seasonally adjusted quits rate was highest in the leisure and hospitality industry (3.9 percent), which also had the highest hires rate. (See table 4.)

Over the year, the quits rate fell in health care and social assistance, other services, and in the Northeast region. The quits rate did not rise significantly in any industry or region over the year. (See table 8.)

The other two components of total separations--layoffs and discharges, and other separations--are not seasonally adjusted. From April 2005 to April 2006, the layoffs and discharges rate was little changed at 1.0 percent. For April 2006, the arts, entertainment, and recreation industry had the highest layoffs and discharges rate (2.3 percent). From April 2005 to April 2006, the other separations rate increased to 0.3 percent. (See tables 9 and 10.)

Flows in the Labor Market

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 separa- tions have averaged 4.5 million per month (not seasonally adjusted). The com- parable figures a year earlier were 4.7 million hires and 4.4 million separa- tions. (See the Technical Note for additional information on these measures.)

For additional information, please read the Technical Note or visit the Job Openings and Labor Turnover Survey (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 May 2006 is scheduled to be issued on Tuesday, July 11, 2006.