| Consensus | Consensus Range | Actual | Previous | Revised | |
|---|---|---|---|---|---|
| Job Openings | 10.6M | 10.3M to 11.0M | 10.824M | 11.012M | 11.234M |
Highlights
Data on job openings in January show a 410,000 decline to 10.824 million after an increase of 488,000 to 11.234 million in December. The January reading is a little above the consensus of 10.6 million in an Econoday survey. The January decline substantially diminishes the uptick in December and brings the level back down in line with readings seen in the second half of 2022. Job openings remain high, but show some easing in the tightness in the labor market. The job openings rate is down 3 tenths to 6.5 in January after 6.8 in December. The JOLTS report for January includes annual revisions.
New hires are up 121,000 in January to 6.372 million after a negligible decline of 2,000 to 6.251 in December. Businesses appear to be able to find more of the workers who have been in short supply. The hires rate of 4.1 percent in January remains on trend since mid-2022.
Job separations are down a scant 4,000 to 5.902 million in January after 5.906 million in December. The separations rate is unchanged at 3.8 percent in January. Layoffs and discharges are up 241,000 to 1.7 million in January. Of these, there was a 190,000 increase in professional and business services which likely reflects conditions in the tech sector.
Quits a subset of separations are down 207,000 to 3.884 million, the lowest since 3.824 million in May 2021. The quits rate is down to 2.5 in January, its lowest since 2.5 in March 2021. There is a strong hint here that churn in the labor market is slowing down, which in turn suggests that competition for qualified workers is easing up and along with it the acceleration in wages and benefits costs.
New hires are up 121,000 in January to 6.372 million after a negligible decline of 2,000 to 6.251 in December. Businesses appear to be able to find more of the workers who have been in short supply. The hires rate of 4.1 percent in January remains on trend since mid-2022.
Job separations are down a scant 4,000 to 5.902 million in January after 5.906 million in December. The separations rate is unchanged at 3.8 percent in January. Layoffs and discharges are up 241,000 to 1.7 million in January. Of these, there was a 190,000 increase in professional and business services which likely reflects conditions in the tech sector.
Quits a subset of separations are down 207,000 to 3.884 million, the lowest since 3.824 million in May 2021. The quits rate is down to 2.5 in January, its lowest since 2.5 in March 2021. There is a strong hint here that churn in the labor market is slowing down, which in turn suggests that competition for qualified workers is easing up and along with it the acceleration in wages and benefits costs.
Market Consensus Before Announcement
Job openings have been strong and rose to 11.0 million in December with January's expectation a move lower to 10.6 million.
Definition
The Labor Department's JOLTS report tracks monthly change in job openings and offers rates on hiring and quits. The reporting period lags other employment data including the employment situation report. The word JOLTS stands for Job Openings and Labor Turnover Survey.
Description
Although lagging the release timing of the employment situation report by a month, JOLTS provides additional information on the labor market. The payroll survey in the employment situation report provides numbers on net job changes. JOLTS breaks down labor market data into pre-net changes such as job openings, hires, and separations.
