Although the month-to-month changes in job openings, hires, and turnover data are often small, some over-the-year changes are significant. From November 2006 to November 2007, the job openings, hires, quits, and total separations rates all fell significantly for total nonfarm and total private employment.
Job Openings
In November, the job openings rate remained at 2.8 percent. Job openings include only those jobs open on the last business day of the month. Over the month, the job openings rate rose in retail trade and fell in accommodation and food services. The job openings rate did not change significantly in any region in November. As occurs nearly every month, the seasonally adjusted job openings rate was highest in November in the accommodation and food services industry (4.0 percent).
Over the year, the job openings rate rose significantly only in federal government (to 1.4 percent). The rate fell over the year in natural resources and mining (1.0 percent), durable goods manufacturing (1.7 percent), information (2.6 percent), arts, entertainment, and recreation (2.7 percent), and state and local government (1.9 percent). Regionally, the job openings rate fell over the year in the Northeast (2.2 percent) and in the West (2.7 percent).
Hires
The hires rate was little changed at 3.4 percent in November. Hires are any additions to the payroll during the month. In November, the hires rate decreased in retail trade, in accommodation and food services, and in the West region. The hires rate did not increase significantly in November in any industry or region. As occurs nearly every month, the seasonally adjusted hires rate was highest in
November in accommodation and food services (6.0 percent).
From November 2006 to November 2007, the hires rate decreased over the year in retail trade (to 4.9 percent), information (1.5 percent), the South region (3.3 percent), and the West region (3.1 per-cent). The hires rate did not increase significantly in any industry or region over the year.
Separations
The total separations, or turnover, rate was essentially unchanged at 3.3 percent in November. Separations are terminations of employment that occur at any time during the month. Over the month, the separations rate did not change significantly in any industry or region. (See table 3.) From November 2006 to November 2007, the total separations rate decreased in construction (to 4.6 percent), in federal government (0.8 percent), and in the South region (2.9 percent). The separations rate did not increase significantly in any industry or region over the year.
Total separations include quits (voluntary separations), layoffs and discharges (involuntary separations), and other separations (including retirements). The quits rate, which can serve as a barometer of workers’ ability to change jobs, fell slightly from 1.9 percent in October to 1.8 percent in November. The quits rate fell over the month in professional and business services, and in the South and West regions. As has occurred every month since the series began in December 2000, the seasonally adjusted quits rate was highest in November in the accommodation and food services industry (4.3 percent).
Over the year, the quits rate did not rise significantly in any industry but did fall in several industries, including wholesale trade (to 0.8 percent), retail trade (2.4 percent), professional and business services (2.0 percent), and federal government (0.3 percent). Geographically, the quits rate fell over the year in 3 of the 4 regions-Northeast (1.2 percent), South (1.6 percent), and West (1.6 percent).
The other two components of total separations-layoffs and discharges, and other separations-are not seasonally adjusted. For November, the layoffs and discharges rate (1.3 percent) and level (1.8 million) were little changed from a year earlier. The layoffs and discharges rate in November 2007 was highest in arts, entertainment, and recreation (6.0 percent). The other separations rate (0.2 percent) and level (252,000) were essentially unchanged over the year.
Flows in the Labor Market
Several industries consistently have high rates of both hires and separations. These include construction; retail trade; professional and business services; arts, entertainment, and recreation; and accommodation and food services. In the 12 months ending in November 2007, these 5 industries produced 33.6 million hires and 32.1 million separations. Thus, these five industries accounted for 58 percent of total nonfarm hires and 59 percent of total nonfarm separations while comprising only 39 percent of total nonfarm employment.
