U.S. job openings increase 2.4 percent in January; hires decline 2.0 percent

The Job Openings and Labor Turnover Survey (JOLTS) published by the Labor Department on Thursday revealed a 2.4 percent m-o-m gain in the U.S. job openings in January 2021 after a revised 0.2 percent m-o-m decrease in December 2020 (originally a 1.1 percent m-o-m advance).

According to the report, employers posted 6.917 million job openings in January compared to the December figure of 6.752 million (revised from 6.646 million in the original estimate) and economists’ expectations of 6.600 million. The job openings rate was 4.6 percent in January, up from an unrevised 4.5 percent in the prior month. The report showed that the number of job openings increased in state and local government education (+56,000), educational services (+21,000), and mining and logging (+10,000).

Meanwhile, the number of hires fell 2.0 percent m-o-m to 5.301 million in January from a revised 5.411 million in December. The hiring rate was 3.7 percent in January, down from a revised 3.8 percent in the prior month. Hires decreased in federal government (-15,000), but rose in arts, entertainment, and recreation (+59,000) and in educational services (+25,000).

The separation rate in January was 5.307 million or 3.7 percent, compared to 5.582 million or 3.9 percent in December. Within separations, the quits rate was 2.3 percent (-0.1 p.p. m-o-m), and the layoffs rate was 1.2 percent (-0.1 pp m-o-m).