Job Openings and Labor Turnover: March 2021

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 reached a series high of 8.1 million on the last business day of March, the U.S. Bureau of Labor Statistics reported today. Hires were little changed at 6.0 million. Total separations were little changed at 5.3 million. Within separations, the quits rate was unchanged at 2.4 percent while the layoffs and discharges rate decreased to a series low of 1.0 percent. This release includes estimates of the number and rate of job openings, hires, and separations for the total nonfarm sector, by industry, by four geographic regions, and by establishment size class.

Job Openings

On the last business day of March, the job openings level reached a series high of 8.1 million (+597,000). The job openings series began in December 2000. The job openings rate increased to 5.3 percent. Job openings increased in a number of industries with the largest increases in accommodation and food services (+185,000); state and local government education (+155,000); and arts, entertainment, and recreation (+81,000). The number of job openings decreased in health care and social assistance (-218,000). The number of job openings increased in the Northeast and Midwest regions. (See table 1.)

Hires

In March, the number and rate of hires changed little at 6.0 million and 4.2 percent, respectively. Hires increased in state and local government education (+62,000); educational services (+31,000); and mining and logging (+17,000). The number of hires was little changed in all four regions. (See table 2.)

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 March, the number and rate of total separations were little changed at 5.3 million and 3.7 percent, respectively. The total separations level decreased in construction (-82,000) and in state and local government education (-25,000). Total separations were little changed in all four regions. (See table 3.)

In March, the quits level and rate were little changed at 3.5 million and 2.4 percent, respectively. The number of quits increased in accommodation and food services (+63,000) and in information (+16,000). Quits decreased in state and local government education (-19,000). The number of quits was little changed in all four regions. (See table 4.)

In March, the number of layoffs and discharges decreased to a series low of 1.5 million. The layoffs and discharges rate decreased to 1.0 percent. The number of layoffs and discharges decreased in construction (-93,000). Layoffs and discharges were little changed in all four regions. (See table 5.)

The number of other separations was little changed in March at 334,000. Other separations increased in professional and business services (+29,000). Other separations decreased in information (-7,000); state and local government education (-6,000); and nondurable goods manufacturing (-5,000). The other separations level was little changed in all four regions. (See table 6.)

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 March, hires totaled 73.2 million and separations totaled 69.9 million, yielding a net employment gain of 3.3 million. These totals include workers who may have been hired and separated more than once during the year.

Establishment Size Class

JOLTS produces estimates for job openings, hires, and separations by establishment size. These estimates can provide additional insight into the internal dynamics of the labor market. There are six employment size classes: 1-9; 10-49; 50-249; 250-999; 1,000-4,999; and 5,000 or more employees. Utilizing these size classes, establishments can also be described as small (1-49 employees), medium (50-249), and large (250+). For a more in-depth description of the JOLTS establishment size class estimates, please visit www.bls.gov/jlt/sizeclassmethodology.htm.