Daily news
September 26, 2023

U.S. labor market loses steam as job openings, resignations decline

The U.S. labor market has seen a slowdown recently with fewer job openings and a slight decline in the rate of people quitting their jobs. The Labor Department’s Job Openings and Labor Turnover Survey, or JOLTS, shows the number of job openings in December was 7.3 million, the lowest level since August 2017. It was also down from the November figure of 7.48 million and 7.58 million in October. The quits rate, which measures the rate at which people are leaving their jobs voluntarily, fell to 2.2% in December from 2.3% in November. Quitting a job is often seen as a signal of economic confidence as workers would only choose to leave a job if they are confident about finding a new one. The decline in job openings and the quits rate indicates that the U.S. labor market is losing some of its momentum. The overall unemployment rate remains historically low at 3.5%, but the slowdown in job growth shows that it could go higher in the near future. In addition, there are signs that businesses are cutting back on hiring. The latest survey of National Association of Business Economists found that almost half of businesses are less likely to hire in the coming months. This could lead to fewer job openings and fewer people quitting their jobs in the months ahead.