Job Openings and Labor Turnover: September 2013

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.

There were 3.9 million job openings on the last business day of September, little changed from August, the U.S. Bureau of Labor Statistics reported today. The hires rate (3.4 percent) and separations rate (3.2 percent) were little changed in September. This release includes estimates of the number and rate of job openings, hires, and separations for the nonfarm sector by industry and by geographic region.

Job Openings

There were 3.9 million job openings in September, little changed from August. (See table 1.) The number of job openings decreased in arts, entertainment, and recreation and was little changed in all remaining industries and in all four regions.

The number of job openings (not seasonally adjusted) increased over the year for total nonfarm and total private, and was little changed in government. Over the year, the number of job openings increased in several industries but decreased in nondurable goods manufacturing and federal government. The Midwest region experienced an increase in job openings over the 12 months ending in September. (See table 7.)

Hires

The number of hires in September was 4.6 million, essentially unchanged from August. The number of hires was little changed for total private and government, as well as for all industries and all four regions. (See table 2.)

Over the 12 months ending in September, the number of hires (not seasonally adjusted) increased for total nonfarm and total private, and changed little for government. The number of hires increased over the year in professional and business services and state and local government but declined in federal government. The hires level rose over the year in the Midwest and West regions. (See table 8.)

Separations

Total separations includes quits, layoffs and discharges, and other separations. Total separations is referred to as turnover. Quits are generally voluntary separations initiated by the employee. Therefore, the quits rate can serve as a measure of workers’ willingness or ability to leave jobs. Layoffs and discharges are involuntary separations initiated by the employer. Other separations include separations due to retirement, death, and disability, as well as transfers to other locations of the same firm.

There were 4.4 million total separations in September, little changed from August. The number of total separations for total private and government were little changed. (See table 3.)

In September, the quits rate was little changed at 1.7 percent for total nonfarm, 2.0 percent for total private, and 0.5 percent for government. The quits rate was little changed over the month for all industries and all four regions. (See table 4.)

The number of quits (not seasonally adjusted) increased over the 12 months ending in September for total nonfarm and total private, and was little changed for government. The number of quits rose in several industries. Over the year, quits increased in the Midwest, South, and West regions. (See table 10.)

The layoffs and discharges rate was essentially unchanged in September at 1.3 percent. The rates were little changed over the month for total private (1.4 percent) and government (0.5 percent). The layoffs and discharges rate increased in September in the South region. Seasonally adjusted estimates of layoffs and discharges are not available for individual industries. (See table 5.)

The layoffs and discharges level (not seasonally adjusted) was little changed over the 12 months ending in September for total nonfarm, total private, and government. The number of layoffs and discharges increased over the year ending in September for finance and insurance and for educational services; the number decreased in construction and federal government. The level was essentially unchanged in all four regions. (See table 11.)

In September, there were 357,000 other separations for total nonfarm, little changed from August. The number of other separations was also little changed over the month for total private and government. Seasonally adjusted estimates of other separations are not available for individual industries or regions. (See table 6.) Over the 12 months ending in September, the number of other separations was little changed for total nonfarm, total private, and government. (See table 12.)

Net Change in Employment

Large numbers of hires and separations occur every month throughout the business cycle. Net employment change results from the relationship between hires and separations. When the number of hires exceeds the number of separations, employment rises, even if the hires level is steady or declining. Conversely, when the number of hires is less than the number of separations, employment declines, even if the hires level is steady or rising. Over the 12 months ending in September 2013, hires totaled 52.7 million and separations totaled 50.8 million, yielding a net employment gain of 1.9 million. These figures include workers who may have been hired and separated more than once during the year.