US Job Openings Hit Record High, Exceed Number Of Unemployed Workers

Two months after the number of US job openings reported by the JOLTS unexpectedly dropped by 150,000 led by food service and construction workers, all it took was two months of revised data to set the seasonally-adjusted, statistically inferred US labor market back on track, and according to the latest JOLTS report, in April the number of job openings soared to a new all time high, rising by 65,000 to a record 6.698 million, the highest number of vacant jobs on record...

... for the third consecutive month surpassing the total number of unemployed Americans, meaning that if the job openings and unemployed job searchers were properly aligned, the US would have no unemployment.

The number of job openings increased in durable goods manufacturing (+33,000) and information (+26,000) but decreased in finance and insurance (-84,000). The number of job openings was little changed across all four geographic regions.

Adding to the exuberant picture, while job openings jumped, the number of total hires also increased to just shy of cycle higher, rising to 5.578 million in April from 5.486 million in March. The number of hires was little changed at 5.6 million in April. The hires rate was 3.8 percent. Hires for total private and for government were little changed.

Meanwhile, that other closely watched category, the level of quits - which indicates workers' confidence they can leverage their existing skills and find a better paying job - posted a modest drop, and in April declined to 3.351 million from 3.387 million. The number of quits was little changed for total private and increased for government (+17,000). Quits increased in state and local government education (+14,000) but decreased in arts, entertainment, and recreation (-25,000). The number of quits was little changed in all four regions.

And with a total 5.4 million separations (a 3.6% rate), this means that there were 1.7 million layoffs and discharges in April, 100,000 higher than in March. he layoffs and discharges rate increased to 1.2 percent over the month. The number of layoffs and discharges edged up for total private and was little changed for government. Layoffs and discharges increased in arts, entertainment, and recreation (+51,000) and in finance and insurance (+27,000). The number of layoffs and discharges was little changed in all four regions.

Putting all this in in context

  • Job openings have increased since a low in July 2009. They returned to the prerecession level in March 2014 and surpassed the prerecession peak in August 2014. There were 6.7 million open jobs on the last business day of April 2018, a new series high.
  • Hires have increased since a low in June 2009 and have surpassed prerecession levels. In April 2018, there were 5.6 million hires.
  • Quits have increased since a low in September 2009 and have surpassed prerecession levels. In April 2018, there were 3.4 million quits.
  • For most of the JOLTS history, the number of hires (measured throughout the month) has exceeded the number of job openings (measured only on the last business day of the month). Since January 2015, however, this relationship has reversed with job openings outnumbering hires in most months.
  • At the end of the most recent recession in June 2009, there were 1.2 million more hires throughout the month than there were job openings on the last business day of the month. In April 2018, there were 1.1 million fewer hires than job openings.

Finally, and perhaps most notably, the Beveridge Curve (job openings rate vs unemployment rate), continues to gradually normalize after a nearly decade-long "drift" from its conventional pattern. From the start of the most recent recession in December 2007 through the end of 2009, the series trended lower and further to the right as the job openings rate declined and the unemployment rate rose.  In April 2018, the unemployment rate was 3.9 percent and the job openings rate was 4.3 percent.

Comments

toady gmrpeabody Tue, 06/05/2018 - 10:34 Permalink

The downward spiral intensifies.... there are no definitions anymore. A "job" is anything from corporate officer to hand jobs on a park bench, money is anything from trillion dollar ponzis to a penny you found on the sidewalk. Nothing outside that is included, like hours, benefits, morality.

They're gonna hafta go to slavery soon... two hours delivering for Amazon for a ration of food.

In reply to by gmrpeabody

Buckaroo Banzai Four Star Tue, 06/05/2018 - 10:58 Permalink

There's never a shortage of openings for shitty jobs. And the supply of shitty jobs has exploded. This is what happens when you throw the borders wide open and let third-world human trash in. It's just Say's Law in action: supply creates its own demand. Massively increase the supply of shitty people, and the marketplace responds by creating millions of shitty jobs for shitty people. ZOG has reconfigured the US economy to create massive amounts of shitty jobs, and the shitty jobs have crowded out the good jobs. How is any of this surprising?

In reply to by Four Star

CatInTheHat Buckaroo Banzai Tue, 06/05/2018 - 11:07 Permalink

Wrong.

NAFTA/CAFTA = offshoring of manufacturing resulting in 60,000 manufacturing companies heading to China and Mexico. Millions of jobs lost.

Trump's ethnic cleansing means Americans must work the shit jobs that illegal immigrants leave behind. Cali farmers do not have enough workers now to harvest crops. 

I'm sure Americans are lining up for those jobs too.

In reply to by Buckaroo Banzai

alangreedspank CatInTheHat Tue, 06/05/2018 - 11:12 Permalink

See who's "lining up" for those jobs

H-2B visa wages* compared to all workers
Occupation    Guest-Worker Pay
Landscapers/Groundskeepers    -7.4%
Forest & Conservation    -23.8%
Maids & Housekeepers    -5.7%
Amusement & Rec.    -13.8%
Meat/Fish Cutters    -18.7%
Construction laborers    -20.2%
Waiters/Waitresses    -.3%
Restaurant Cooks    +2.9%
Counter Attendants    -6.3%
Laborers/Movers    -3.9%
*Average pay offered by employers per occupation.
Source: USCIS, Bureau of Labor Statistics

Yeah, real "shortage". Why would H2B wages be lower if there was a shortage?

In reply to by CatInTheHat

Chupacabra-322 Buckaroo Banzai Tue, 06/05/2018 - 11:49 Permalink

@ Buck,

“This is what happens when you throw the borders wide open and let third-world human trash in.”

“ZOG has reconfigured the US economy to create massive amounts of shitty jobs, and the shitty jobs have crowded out the good jobs. How is any of this surprising?”

 

The Yinon Plan along with Pro Zionist immigrantion policy of migrating Muslim’s &  Arabs to the EU & US without fear of retribution.  Pro migration policy which supports territory boarder expansion via the Yinon Plan & ethnic cleansing & migration of Arabs & Muslim’s. 

In reply to by Buckaroo Banzai

canisdirus Bigly Tue, 06/05/2018 - 14:08 Permalink

I'm solidly in the middle of one of the biggest industries where these are concentrated. This is fake news because nobody is cold calling me like they were in 2000. If I have to wade through job listings, these aren't jobs they actually want to fill with anyone that isn't dirt cheap or even exists in most cases.

In reply to by Bigly

alangreedspank buzzsaw99 Tue, 06/05/2018 - 10:46 Permalink

My theory is that they want ever cheaper labor so they don't have to raise wage, which could cause inflation, which would then eventually prompt the Fed to tighten much more than it does now.

And what do employers have a lot of they didn't have as much of before ? Lots and lots of cheap debt that if it gets rolled over into a costlier loan, everything goes poof.

In reply to by buzzsaw99

Yellow_Snow alangreedspank Tue, 06/05/2018 - 10:57 Permalink

REAL unemployment is at 21.5%... shadowstats  >500% NUMBERS INFLATION  !!!

ALL ECONOMIC NUMBERS SHOULD BE TREATED AS LIES...

Look back at towns/cities you used to live in...  see all the stores, factories, banks, offices, etc that have shuttered down...  Main Streets are now only barren 'Historic sites' with a few restaurants or coffee shops located there

In reply to by alangreedspank

XBroker1 Tue, 06/05/2018 - 10:38 Permalink

At this point, I prefer immigrants to the average, dumbed down american retail worker.  Sad to say, but true. The bar has clearly been lowered as to how people raise their children in the US. Open the borders. Three cheers for one world government... actually OWG and OWcurrency wouldn't be bad things if there wasn't a malevolent intent behind them.

Obsidian Samctum Tue, 06/05/2018 - 10:38 Permalink

All these job openings but now body is hiring. Tried looking for a hob lately? 

 

Stop this “full employment” bullshit. You KNOW unemployment is at least 20%. Bullshitting about it will not nake it go away.

doc333 Tue, 06/05/2018 - 10:40 Permalink

Snowflakes, soy boys, lefties and losers ALL hate Trump so much that they want the USA to FAIL so they can blame him!  LOL - not tired of WINNING!!!

GooseShtepping Moron Tue, 06/05/2018 - 10:44 Permalink

What these data tell you are that dissatisfied workers get fed up and quit their jobs, leaving a theoretical "job opening" behind them, but those openings are never filled because nobody wants to work for the shitty wages. How many times have you seen it happen lately that an old person in the office retires or the new guy spends a few months on the job and then quits, and nobody is hired to replace them?

My own office (about 50 people) has been running down 2 supervisors and 6-9 line workers for a year and a half now.