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On the last business day of August, the number of job openings in the U.S. was little changed at a series low level of 2.4 million, the U.S. Bureau of Labor Statistics reported today. The hires rate was little changed and remained low at 3.1 percent in August. The total separations rate was little changed and remained low at 3.3 percent. 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
The job openings rate was unchanged in August at a rate of 1.8 percent. The number of job openings has fallen by 2.4 million, or 50 percent, since the most recent peak in June 2007. The job openings rate was little changed in August in all industries and regions. (See table 1.)
Over the 12 months ending in August, the job openings rate (not seasonally adjusted) decreased for total nonfarm, total private, government, the majority of industries, and all four regions. The rate was little changed in construction; wholesale trade; real estate and rental and leasing; educational services; and other services. (See table 5.)
Hires
The hires level was little changed at 4.0 million in August but has declined by 1.6 million, or 28 percent, since the most recent peak in July 2006. The hires rate was low in August at 3.1 percent and little changed from July. The hires rate was little changed in August in all industries. The hires rate decreased over the month in the West and was little changed in the remaining regions. (See table 2.)
Over the 12 months ending in August, the hires rate (not seasonally adjusted) declined for total nonfarm, total private, and government. The hires rate decreased for mining and logging; construction; retail trade; finance and insurance; educational services; and state and local government. The hires rate fell over the past 12 months in the West and was little changed in the remaining regions. (See table 6.)
Separations
The total separations, or turnover, rate was little changed in August and remained low at 3.3 percent. The total separations rate (not seasonally adjusted) decreased over the 12 months ending in August for total nonfarm and total private. Total separations includes quits (voluntary separations), layoffs and discharges (involuntary separations), and other separations (including retirements). (See tables 3 and 7.)
The quits rate can serve as a measure of workers’ willingness or ability to change jobs. The rate was little changed in August at 1.3 percent. The quits level was 1.7 million in August, which is 45 percent lower than the most recent peak in December 2006. (See table 4.)
Over the 12 months ending in August, the quits rate (not seasonally adjusted) was lower for total nonfarm, total private, government, the majority of industries, and all four regions. The industries for which the quits rate was little changed over the year include transportation, warehousing, and utilities; information; finance and insurance; real estate and rental and leasing; arts, entertainment and recreation; and federal government. (See table 8.)
The layoffs and discharges component of total separations is seasonally adjusted at the total nonfarm, total private, and government levels. The layoffs and discharges level for total nonfarm, total private, and government was little changed in August at 2.3 million, 2.2 million, and 135,000 respectively. The corresponding layoffs and discharges rates were 1.8 percent, 2.0 percent, and 0.6 percent. The number of layoffs and discharges in August was 46 percent higher than the recent low point in January 2006. (See table B below.)
The layoffs and discharges rate (not seasonally adjusted) was little changed over the 12 months ending in August for total nonfarm and total private and increased for government. The layoffs and discharges rate rose in mining and logging; construction; nondurable goods manufacturing; and state and local government. The layoffs and discharges rate increased in the Midwest and was little changed in the remaining regions. (See table 9.)
The other separations series is not seasonally adjusted. In August, there were 321,000 other separations for total nonfarm, 263,000 for total private, and 58,000 for government. Compared to August 2008, the number of other separations was little changed for total nonfarm, total private, and government. (See table 10.)
The total separations level is influenced by the relative contribution of its three components—quits, layoffs and discharges, and other separations. The percentage of total separations at the total nonfarm level attributable to the individual components has varied over time. The proportion of separations due to quits declined from 61 percent in January 2007 to a series low of 38 percent in April 2009. It then rose slightly and stood at 41 percent in August 2009. The proportion of layoffs and discharges reached a series high of 55 percent in July 2009 then dropped slightly to 54 percent in August 2009. (See tables 3 and 4, and table B above.)
Net Change in Employment
Over the 12 months ending in August, hires totaled 50.9 million and separations totaled 56.1 million, yielding a net employment loss of 5.2 million.
Source: U.S. Bureau of Labor Statistics · Original release Oct 9, 2009.
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