Job Openings and Labor Turnover: October 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 increased to 11.0 million on the last business day of October, the U.S. Bureau of Labor Statistics reported today. Hires were little changed at 6.5 million and total separations edged down to 5.9 million. Within separations, the quits rate decreased to 2.8 percent following a series high in September. The layoffs and discharges rate was unchanged at 0.9 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 October, the number of job openings increased to 11.0 million (+431,000). The job openings rate was little changed at 6.9 percent. Job openings increased in several industries with the largest increases in accommodation and food services (+254,000); nondurable goods manufacturing (+45,000); and educational services (+42,000). Job openings decreased in state and local government, excluding education (-115,000). The number of job openings increased in the South region. (See table 1.)

Hires

In October, the number of hires was little changed at 6.5 million. The hires rate was unchanged at 4.4 percent. Hires decreased in finance and insurance (-96,000). Hires increased in educational services (+54,000) and in state and local government education (+37,000). 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 October, the number of total separations edged down to 5.9 million (-255,000). The total separations rate was little changed at 4.0 percent. Total separations decreased in finance and insurance (-88,000) and in transportation, warehousing, and utilities (-64,000). Total separations increased in state and local government, excluding education (+28,000). Total separations were little changed in all four regions. (See table 3.)

The number of quits decreased in October to 4.2 million (-205,000). The quits rate decreased to 2.8 percent. Quits decreased in several industries with the largest decreases in transportation, warehousing, and utilities (-57,000); finance and insurance (-45,000); and arts, entertainment, and recreation (-33,000). Quits increased in state and local government, excluding education (+21,000) and in mining and logging (+6,000). The number of quits was little changed in all four regions. (See table 4.)

In October, the number of layoffs and discharges was little changed at 1.4 million. The layoffs and discharges rate was unchanged at 0.9 percent. Layoffs and discharges were little changed in all industries and in all four regions. (See table 5.)

The number of other separations was little changed in October at 373,000. Other separations decreased in finance and insurance (-33,000). The number of other separations increased in state and local government, excluding education (+8,000). Other separations were 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 October 2021, hires totaled 73.8 million and separations totaled 68.1 million, yielding a net employment gain of 5.7 million. These totals include workers who may have been hired and separated more than once during the year.

Establishment Size Class

In October, the job openings rate increased in small establishments with 10-49 employees and in large establishments with 1,000 to 4,999 employees. The hires rate decreased in large establishments with 1,000 to 4,999 employees. The quits rate decreased in small establishments with 1-9 employees but increased in large establishments with 5,000 or more employees. Both the layoffs and discharges rate and the total separations rate increased in large establishments with 5,000 or more employees. For a more in-depth description of the JOLTS establishment size class estimates, please visit www.bls.gov/jlt/sizeclassmethodology.htm.