The Job Openings and Labor Turnover Survey (JOLTS) as of June 2024

 

The data from the Job Openings and Labor Turnover Survey (JOLTS) shows a general decline across various job metrics both on an annual and a monthly basis. Here's a breakdown of the key findings:

1. Overall Decline in Job Openings and Hires:

   • Job Openings (Total Nonfarm): There has been a significant annual decline of about 10.31%, with a slight decrease of 0.56% monthly.
   • Hires (Total Nonfarm): A notable annual decrease of approximately 9.40%, and a more substantial monthly decrease of 5.55%. This suggests a slowdown in hiring across the economy.

2. Sector-Specific Changes:

   • Construction: Job openings in this sector show a drastic annual decline of about 28.74%, with a sharp monthly drop of 19.40%. This may reflect the impact of high interest rates on construction projects.
   • Manufacturing: A significant annual decrease in job openings of 15.92% and a monthly decrease of 17.06%, indicating challenges in this sector, possibly due to supply chain issues and economic uncertainties.

3. Professional and Business Services:

   • A relatively smaller annual decline in job openings at 2.81%, with a monthly decrease of 1.79%. This sector seems to be less affected compared to others.

4. Separations and Quits:

   • Total Separations (Total Nonfarm): Decreased by 9.65% annually and 5.60% monthly, indicating fewer workers are leaving their jobs.
   • Quits (Total Private and Total Nonfarm): Both metrics show annual declines of around 11.54% and 11.68%, respectively, with monthly decreases of about 4.17% and 3.56%. This suggests that employees are less likely to voluntarily leave their jobs, possibly due to economic uncertainties.

5. Layoffs and Discharges:

   • There is a moderate annual decrease of 5.73% but a more significant monthly decrease of 10.73%, indicating recent efforts by employers to reduce layoffs.

Overall, these trends suggest a cooling labor market, with fewer job openings and hires, particularly in sectors like construction and manufacturing. The decrease in quits may indicate that workers are cautious about leaving their current positions in the face of economic uncertainty. This data aligns with your previous observations of a softening U.S. labor market.