In May 2023, the number of job openings in the United States surged to 8.14 million, as reported by the JOLTS (Job Openings and Labor Turnover Survey) from the US Bureau of Labor Statistics. This figure surpassed economist expectations of 7.95 million, indicating a robust job market.
Luke Carberry Mogan, the author of the post, analyzed the data, focusing on revisions to April’s JOLTS print, layoff rates, and the job opening rate as a percent of total employment plus openings. The May job opening rate was 4.9%, slightly higher than the 4.8% recorded in April. The pace of hiring also showed a slight uptick, coming in at 3.6% compared to 3.5% in April.
Interestingly, layoffs and discharges remained steady at 1% in May, consistent with the figure seen in April. The increase in job openings over 220,000 from 7.91 million the prior month could suggest a potential return to a strengthening job market, a topic that has been a point of discussion in the broader market context.
Analysis of the job openings rate reveals a decrease in job openings in the accommodation and food services sector, down by approximately 47,000, and in private educational services. However, there were increases in job openings in sectors such as state and local government, excluding education, durable goods manufacturing, and the federal government.
The focus moving forward will shift to the ADP jobs report to be released on Wednesday, offering a more current snapshot of the job market trends.