Job Openings and Labor Turnover: September 2015

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 number of job openings was little changed at 5.5 million on the last business day of September, the U.S. Bureau of Labor Statistics reported today. Hires and separations were little changed at 5.0 million and 4.8 million, respectively. Within separations, the quits rate was 1.9 percent for the sixth consecutive month, and the layoffs and discharges rate remained unchanged at 1.2 percent. This release includes estimates of the number and rate of job openings, hires, and separations for the nonfarm sector by industry and by four geographic regions.

Job Openings

Job openings were little changed at 5.5 million in September. The job openings rate for September was 3.7 percent. The number of job openings was little changed in September for total private and government. Job openings increased in professional and business services (+126,000) and retail trade (+64,000). The number of openings was little changed in all four regions. (See table 1.)

The number of job openings (not seasonally adjusted) increased over the 12 months ending in September for total nonfarm and total private and was little changed for government. Job openings rose over the year for several industries with the largest increases occurring in professional and business services (+311,000), health care and social assistance (+191,000), and retail trade (+184,000). Job openings decreased over the year in mining and logging (-16,000). The number of job openings increased over the year in all four regions: South (+283,000), West (+259,000), Midwest (+208,000), and Northeast (+102,000). (See table 7.)

Hires

The number of hires was 5.0 million in September, little changed from August. The hires rate was 3.5 percent. The number of hires was little changed for total private and government in September. There was little change in the number of hires in all industries and regions over the month. (See table 2.)

Over the 12 months ending in September, the number of hires (not seasonally adjusted) was little changed for total nonfarm, total private, and government. At the industry level, hires decreased in educational services (-74,000), finance and insurance (-43,000), and mining and logging (-13,000). There was little change in the number of hires in all four regions over the year. (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 includes separations due to retirement, death, and disability, as well as transfers to other locations of the same firm.

There were 4.8 million total separations in September, little changed from August. The total separations rate was 3.4 percent. The number of total separations was little changed for total private and government. In September, total separations were little changed in all industries and regions. (See table 3.)

There were 2.7 million quits in September, little changed from August. The number of quits has held between 2.7 million and 2.8 million for the past 13 months after increasing steadily since the end of the recession. The quits rate remained unchanged in September, measuring 1.9 percent for the sixth consecutive month. The number of quits was little changed for total private and government over the month. Quits were little changed in all industries and regions over the month. (See table 4.)

The number of quits (not seasonally adjusted) was little changed over the 12 months ending in September for total nonfarm and total private but decreased for government (-31,000). Quits increased over the year in accommodation and food services (+66,000) and durable goods manufacturing (+22,000). Quits decreased over the year in state and local government (-31,000) and finance and insurance (-24,000). Quits were little changed in all four regions. (See table 10.)

There were 1.7 million layoffs and discharges in September, little changed from August. The layoffs and discharges rate remained unchanged at 1.2 percent. The number of layoffs and discharges was little changed over the month for total private and government. Layoffs and discharges were little changed in all four regions. (See table 5.) Seasonally adjusted estimates of layoffs and discharges are not available for individual industries.

The number of layoffs and discharges (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 rose over the year in other services (+54,000). Layoffs and discharges decreased over the year in educational services (-17,000) and federal government (-7,000). Layoffs and discharges were little changed in all four regions over the year. (See table 11.)

In September, there were 387,000 other separations for total nonfarm, little changed from August. Over the month, the number of other separations was little changed for total private at 315,000 and increased for government to 72,000. (See table 6.) Seasonally adjusted estimates of other separations are not available for individual industries or regions.

Over the 12 months ending in September, the number of other separations (not seasonally adjusted) was little changed for total nonfarm, total private, and government. Other separations increased over the year in federal government (+4,000). The number of other separations decreased in finance and insurance (-15,000) and in information (-5,000). Other separations were little changed in all four regions over the year. (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 2015, hires totaled 60.9 million and separations totaled 58.2 million, yielding a net employment gain of 2.7 million. These totals include workers who may have been hired and separated more than once during the year.