Home / Business and Economy / US Job Openings Climb, Hiring Slows Dramatically
US Job Openings Climb, Hiring Slows Dramatically
11 Dec
Summary
- US job openings reached a five-month high in October.
- The hiring rate fell to 3.2%, one of the lowest since the Great Recession.
- Consumer confidence in job market conditions declined in November.
Available jobs in the US saw an uptick in October, reaching 7.67 million, the highest figure in five months, driven by growth in health care, retail, and wholesale trade sectors. Despite more openings, the labor market indicates a cooling trend, with the hiring rate dropping to 3.2%, a level comparable to the Great Recession. The rate at which workers voluntarily leave their jobs also decreased to 1.8%, suggesting diminished confidence in finding new employment.
This softening in the labor market is prompting speculation about Federal Reserve policy. Financial markets anticipate a potential quarter-point interest rate cut by the Fed, driven by a mandate to support employment. This outlook suggests that concerns about the labor market may outweigh persistent inflation, which remains above the Fed's 2% target.
Further indicators suggest a cooling job market. Unemployment edged up in September, and consumer confidence surveys reveal a decrease in the perception of job availability. Small businesses report frustration with the scarcity of qualified workers, despite job openings remaining above average and compensation increasing, with few new hires outside of government-supported entities.
