Record U.S. job openings with lower hiring show labor shortage
(Bloomberg) -- An increase in U.S. job openings in April to a record high indicates demand for workers remains strong in the world’s largest economy while the supply is tightening, a Labor Department report showed Tuesday.
|Highlights of Job Openings (April)|
The increase in help-wanted signs, coupled with a decline in hiring, may indicate that companies are increasingly dealing with a shortage of qualified workers as the job market tightens. The figures are in sync with the overall picture of a labor market that continues to be resilient, helping boost consumer spending and contributing to the economy’s rebound this quarter. Figures released last week showed the unemployment rate fell to a 16-year low of 4.3 percent in May even as hiring cooled.
- Layoffs fell to 1.59 million from 1.66 million
- There were 1.2 unemployed people vying for every opening in April, compared with 1.9 people when the recession began at the end of 2007
- Accommodation and food services, construction, financial activities were among industries posting increased openings; vacancies declined in manufacturing, retail
- In the 12 months through April, the economy created a net 2.2 million jobs, representing 62.9 million hires and 60.7 million separations
- Although it lags the Labor Department’s other jobs data by a month, the JOLTS report adds context to monthly payrolls figures by measuring dynamics such as resignations, help-wanted ads and the pace of hiring