The job openings rate fell slightly in January to 2.4 percent, while the hires and total separations rates were unchanged at 3.5 and 3.3 percent, respectively, the Bureau of Labor Statistics of the U.S. Department of Labor reported today. This release includes estimates of the number and rate of job openings, hires, and separations for the total nonfarm sector by indus- try and geographic region.
Job Openings
On the last business day of January 2005, there were 3.3 million job openings in the United States, and the job openings rate was 2.4 percent. The job openings rate trended upward from September 2003 through May 2004, but then leveled off. In January, the job openings rate decreased for private industries overall and for government. The job open- ings rate fell in the West region, but showed little or no change in the other regions of the country.
Hires and Separations
The hires rate (the number of hires during the month divided by employ- ment) was 3.5 percent in January, unchanged from a month earlier. Hires are any additions to the payroll during the month. No in- dustries or regions showed a significant change in their hires rates from December to January.The total separations, or turnover, rate (the total number of separations during the month divided by employment) was 3.3 percent in January. Separa- tions are terminations of employment that occur at any time during the month. The total separations rate fell in government and in the trade, transportation, and utilities industry in January.
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 at 1.9 percent in January. The quits rate did not change significantly in any industry in January, but did rise slightly in the Northeast region. The other two components of total separations, layoffs and discharges and other separations, are not seasonally adjusted. The layoffs and discharges rate (1.3 percent) was little changed from January 2004 to January 2005; the other separations rate (0.3 percent) was unchanged.
Hires and separations help show dynamic flows in the labor market. Over the last 12 months, hires have averaged 4.5 million per month and separations have averaged 4.3 million per month.
