Job Openings
The number of job openings in May was 3.2 million, which was little changed from April. Although the month-to-month change is small, the number of job openings has risen by 868,000 (37 percent) since the most recent trough of 2.3 million in July 2009. Even with the gains since July 2009, the number of job openings in May 2010 remained below those in place at the start of the recession in every industry except government, and in each region except the Northeast.
The number of job openings in May (not seasonally adjusted) increased from 12 months earlier for total nonfarm, total private, and government. The job openings level increased in many industries and in 3 of the 4 regions - Northeast, South, and West.
Hires
In May, the hires rate was essentially unchanged for total nonfarm at 3.4 percent. Although the over-the-month change in the rate was not significant, the last time the hires rate was 3.4 percent was August 2008. The rate was between 3.0 percent and 3.3 percent from September 2008 through April 2010. The number of hires for total nonfarm has increased by 648,000 (17 percent) since the most recent trough in June 2009 but remains below pre-recession levels. The hires rate increased in May for government, reflecting the temporary workers hired for Census 2010. The number of hires remained below prerecession levels in every industry except government (due to Census 2010 hires) and in each region.
Over the 12 months ending in May, the hires rate (not seasonally adjusted) rose for total nonfarm. The hires rate increased over the past 12 months in mining and logging, durable goods manufacturing, and federal government, and fell in wholesale trade. The hires rate increased over the year in the Midwest and South and was little changed in the other two regions.
Separations
Total separations includes quits (voluntary separations), layoffs and discharges (involuntary separations), and other separations (including retirements). The total separations, or turnover, rate for total nonfarm remained at 3.1 percent in May for the fourth consecutive month. The rate was also little changed over the month for total private and government. The total separations rate (not seasonally adjusted) was little changed over the 12 months ending in May for total nonfarm and total private, and was unchanged for government.
The quits rate can serve as a measure of workers’ willingness or ability to change jobs. In May, the quits rate was essentially unchanged at 1.4 percent for total nonfarm and was little changed in every industry and region. The number of quits fell by 1.4 million (46 percent) between the November 2006 peak and the September 2009 trough. Since September 2009, the number of quits has risen by 161,000.
Over the 12 months ending in May, the quits rate (not seasonally adjusted) was little changed for total nonfarm and total private and unchanged for government. The quits rate was little changed in every industry and region over the year except in information where the rate decreased and in federal government where the rate increased.
The layoffs and discharges component of total separations is seasonally adjusted at the total nonfarm, total private, and government levels. The layoffs and discharges rate was little changed in May for total nonfarm, total private, and government. Layoffs and discharges declined from a peak of 2.6 million in January 2009 to 1.9 million in May 2010, just 30,000 above the level at the start of the recession.
The layoffs and discharges rate (not seasonally adjusted) fell over the 12 months ending in May for total nonfarm and total private and was little changed for government. The layoffs and discharges rate fell over the year in many industries and 2 of the 4 regions - Midwest and West.
The other separations series is not seasonally adjusted. In May, there were 312,000 other separations for total nonfarm, 242,000 for total private, and 71,000 for government. Compared to May 2009, the number of other separations was little changed for total nonfarm and total private but increased for government.
The total separations level is influenced by the relative contribution of its three components - quits, layoffs and discharges, and other separations. The percentage of total separations at the total nonfarm level attributable to the individual components has varied over time. In May 2010, the proportion of quits and layoffs and discharges were equal at 46 percent. From the beginning of the series in December 2000 through October 2008, the proportion of quits exceeded the proportion of layoffs and discharges. In November 2008, layoffs and discharges became the larger contributor to total separations. In February 2010, the relative contribution reversed again with the proportion of quits slightly exceeding the proportion of layoffs and discharges.
Net Change in Employment
Over the 12 months ending in May, hires totaled 49.4 million and separations totaled 49.9 million, yielding a net employment loss of 0.6 million.
