Job Openings and Labor Turnover: December 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 4.0 million job openings on the last business day of December, little changed from November, the U.S. Bureau of Labor Statistics reported today. The hires rate (3.2 percent) and separations rate (3.2 percent) were little changed in December. 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 4.0 million job openings in December, little changed from November. The number of openings was little changed in total private and decreased in government. The number of job openings decreased in health care and social assistance; arts, entertainment, and recreation; and state and local government. The Midwest region experienced a decline in job openings in December. (See table 1.)

The number of job openings (not seasonally adjusted) increased over the year for total nonfarm and total private and was little changed for government. Over the year, the number of job openings increased in mining and logging; nondurable goods manufacturing; wholesale trade; professional and business services; and accommodation and food services. The job openings level decreased in healthcare and social assistance as well as federal government. The West region experienced an increase in job openings over the 12 months ending in December. (See table 7.)

Hires

There were 4.4 million hires in December, little changed from November. The number of hires was essentially unchanged for total private and government. The number of hires was little changed in all industries and in all four regions. (See table 2.)

Over the 12 months ending in December, the number of hires (not seasonally adjusted) changed little for total nonfarm, total private, and government. Hires levels were little changed in all industries and in all four 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 December, little changed from November. The number of total separations was essentially unchanged for total private and government. (See table 3.)

In December, the quits rate was little changed at 1.7 percent for total nonfarm. The rate was little changed for total private (1.9 percent) and unchanged for government (0.6 percent). The quits rate decreased over the month for accommodation and food services and was little changed in all four regions. (See table 4.)

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

The layoffs and discharges rate was little changed in December at 1.2 percent. The rate was little changed over the month for total private (1.3 percent) and unchanged for government (0.4 percent). The layoffs and discharges rate was little changed in all four regions. 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 December for total nonfarm, total private, and government. The number of layoffs and discharges was little changed over the year ending in December for all industries and in all four regions. (See table 11.)

In December, there were 390,000 other separations for total nonfarm, little changed from November. The number of other separations was little changed over the month for total private and government. (See table 6.) Seasonally adjusted estimates of other separations are not available for individual industries or regions. Over the 12 months ending in November, the number of other separations was little changed for total nonfarm and total private and decreased for 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 December 2013, hires totaled 53.3 million and separations totaled 51.4 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.