The job openings and labor turnover survey (JOLTS) from the Bureau of Labor Statistics, one of Fed Chair Janet Yellen’s favorite economic indicators, was released this morning and it showed that there were 5.624 million job openings in America in June (lagged). That was a solid increase from May’s upward-revised 5.514 million print but still below the all-time high of 5.845 million hit in April. Total hires also rose in June (5.131 million), the first sequential gain since February and not surprising considering the sharp rebound in nonfarm payrolls growth that month. However, annual hiring growth remains weak compared to the past few years, and the number of unemployed workers per job opening ended June at 1.45, the highest reading since February. More importantly, the ratio of quits to layoffs and discharges rose to 1.77 in June, one of the best readings of the recovery and a sign of American workers’ increased willingness to give up their current job security for better employment opportunities. The overall quits rate, though, appears to have stalled recently.
Sources: Econoday, Twitter, Bloomberg, ZH, U.S. DoL, FRBSLPost author: Charles Couch