In October, the job openings rate remained at 2.9 percent. The rate has been 2.9 percent for 8 of the past 9 months. Job openings include only those jobs open on the last business day of the month. The job openings rate changed significantly in October only in retail trade, falling from 2.3 percent in September to 1.9 percent in October. Over the month, the job openings rate rose in the Northeast region (2.6 percent) and fell in the Midwest region (2.3 percent). The seasonally adjusted job openings rate was highest in October in accommodations and food services (4.9 percent).
Over the year, the job openings rate rose in wholesale trade (2.9 percent); accommodations and food services (4.6 percent); and federal government (1.7 percent). The rate fell over the year in natural resources and mining (1.4 percent); durable goods manufacturing (1.9 percent); retail trade (2.5 percent); information (2.7 percent); health care and social assistance (3.9 percent); and arts, entertainment, and recreation (2.8 percent). Regionally, the job openings rate fell over the year in the Northeast (2.8 percent).
Hires
The hires rate was little changed at 3.5 percent in October. Hires are any additions to the payroll during the month. In October, the hires rate increased in education and health services (2.8 percent), in accommodations and food services (7.1 percent), and in the West region (3.9 percent). The hires rate did not fall significantly in October in any industry or region. As occurs nearly every month, the seasonally adjusted hires rate in October was highest in accommodations and food services (7.1 percent).
From October 2006 to October 2007, the hires rate decreased over the year in professional and business services (4.7 percent), in other services (3.0 percent), and in the Northeast region (2.5 percent). 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 3.4 percent in October. Separations are terminations of employment that occur at any time during the month. Over the month, the separations rate changed significantly in state and local government (1.2 percent) and in the West region (3.8 percent); both rates rose. From October 2006 to October 2007, the total separations rate increased in durable goods manufacturing (2.7 percent) and wholesale trade (2.8 percent). Over the year, the total separations rate decreased in information (1.7 percent) and federal government (0.9 percent). The total separations rate did not change significantly in any 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, was unchanged in October. The quits rate increased over the month in professional and business services (2.8 percent) and accommodations and food services (4.4 percent). Geographically, the quits rate rose over the month in the West (2.3 percent). As has occurred every month since the series began in December 2000, the seasonally adjusted quits rate in October was highest in accommodations and food services (4.4 percent).
Over the year, the quits rate did not rise significantly in any industry but did fall in several industries, including information (1.1 percent);real estate and rental and leasing (1.4 percent); health care and social assistance (1.4 percent); and federal government (0.3 percent). Geographically, the quits rate rose over the year in the West (2.1 percent) and fell over the year in the Midwest (1.6 percent).
The other two components of total separations-layoffs and discharges,and other separations-are not seasonally adjusted. For October, 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
October 2007 was highest in arts, entertainment, and recreation (5.4 percent). The other separations level decreased over the year to 247,000.
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 accommodations and food services. In the 12 months ending in October 2007, these 5 industries produced 33.9 million hires and 32.3 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.
Although the month-to-month changes in job openings and turnover data are often small, some industries are experiencing significant over-the-year change. From October 2006 to October 2007, the information industry had decreases in its job openings, hires, and total separations rates.
