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The number of job openings was little changed at 6.6 million on the last business day of December, the U.S. Bureau of Labor Statistics reported today. Hires decreased to 5.5 million while total separations were little changed at 5.5 million. Within separations, the quits rate and layoffs and discharges rate were little changed at 2.3 percent and 1.3 percent, respectively. This release includes estimates of the number and rate of job openings, hires, and separations for the total nonfarm sector, by industry, and by four geographic regions.
Job Openings
On the last business day of December, the number and rate of job openings were little changed at 6.6 million and 4.5 percent, respectively. Job openings increased in professional and business services (+296,000). Job openings decreased in state and local government, excluding education (-65,000); arts, entertainment, and recreation (-50,000); and nondurable goods manufacturing (-30,000). The number of job openings was little changed in all four regions. (See table 1.)
Over the year, the number of job openings (not seasonally adjusted) was little changed in December. Job openings decreased in a number of industries over the year with the largest decreases in state and local government, excluding education; arts, entertainment, and recreation; and information. The job openings level increased in a number of industries over the year with the largest increases in professional and business services; nondurable goods manufacturing; and transportation, warehousing, and utilities. The number of job openings increased in the South region. (See table 7.)
Hires
In December, the number of hires decreased to 5.5 million (-396,000), and the hires rate decreased to 3.9 percent. Hires decreased in accommodation and food services (-221,000); transportation, warehousing, and utilities (-133,000); and arts, entertainment, and recreation (-82,000). Hires increased in retail trade (+94,000). The number of hires decreased in the South region. (See table 2.)
The number of hires in December (not seasonally adjusted) edged down over the year (-237,000). Hires decreased in accommodation and food services; arts, entertainment, and recreation; and educational services. Hires increased in a number of industries with the largest increases in wholesale trade, nondurable goods manufacturing, and durable goods manufacturing. The number of hires decreased in the West region. (See table 8.)
Separations
Total separations includes quits, layoffs and discharges, and other separations. 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, disability, and transfers to other locations of the same firm.
In December, the number of total separations was little changed at 5.5 million, and the total separations rate was little changed at 3.8 percent. The total separations level decreased in federal government (-86,000). Total separations increased in arts, entertainment, and recreation (+68,000). Total separations were little changed in all four regions. (See table 3.)
Over the year, the number of total separations (not seasonally adjusted) was little changed. Total separations increased in a number of industries with the largest increases in accommodation and food services; nondurable goods manufacturing; and state and local government, excluding education. Total separations decreased in transportation, warehousing, and utilities and in mining and logging. The number of total separations was little changed in all four regions. (See table 9.)
In December, the quits level and rate were little changed at 3.3 million and 2.3 percent, respectively. The number of quits decreased in federal government (-4,000). The number of quits increased in the Midwest region. (See table 4.)
Over the year, the number of quits (not seasonally adjusted) was little changed. Quits decreased in accommodation and food services and state and in local government education. Quits increased in durable goods manufacturing. The number of quits decreased in the West region. (See table 10.)
The number of layoffs and discharges decreased to 1.8 million (-243,000) in December. The layoffs and discharges rate was little changed at 1.3 percent. The number of layoffs and discharges decreased in a number of industries with the largest decreases in federal government (-87,000); transportation, warehousing, and utilities (-52,000); and health care and social assistance (-42,000). Layoffs and discharges increased in arts, entertainment, and recreation (+50,000). Layoffs and discharges decreased in the Midwest region. (See table 5.)
Over the year, the layoffs and discharges level (not seasonally adjusted) was little changed. Layoffs and discharges increased in accommodation and food services; educational services; and state and local government, excluding education. The number of layoffs and discharges decreased in a number of industries with the largest decreases in construction; transportation, warehousing, and utilities; and retail trade. The number of layoffs and discharges decreased over the year in the South region. (See table 11.)
The number of other separations increased in December to 362,000 (+74,000). Other separations increased in a number of industries with the largest increases in health care and social assistance (+15,000); state and local government, excluding education (+8,000); and nondurable goods manufacturing (+7,000). The other separations level increased in the South region. (See table 6.)
Over the year, the other separations level (not seasonally adjusted) was little changed. Other separations decreased in durable goods manufacturing. The number of other separations increased in federal government and in educational services. The number of other separations was little changed in all four regions. (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, hires totaled 70.2 million and separations totaled 75.7 million, yielding a net employment loss of 5.5 million. These totals include workers who may have been hired and separated more than once during the year.
Source: U.S. Bureau of Labor Statistics · Original release Feb 9, 2021.
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