Key Highlights:
· Employment trended upward in healthcare, leisure and hospitality, government and social assistance.
· Revisions raised previously reported job creation totals by 44,000 for September and October combined.
· There were 1.11 job openings for every unemployed person in October, up from 1.08 in September. This ratio, which peaked at 2.03 in early 2022, is now below the 1.2 that prevailed before the COVID-19 pandemic.
The December 2024 BLS employment report showed an increase of 227,000 jobs, a bit above economists’ expectation. Please note: Approximately 40,000 jobs stemmed from workers returning after the Boeing strike, and an estimated 25,000 reflected hurricane recovery efforts.
Temporary help services added jobs for the first time in 19 months, reflecting improvement in contingent employment. Average hourly earnings grew 4.1% year-over-year and 0.4% month-over-month, sustaining strong wage growth.
The October 2024 JOLTS report revealed a slight increase in job openings to 7.7 million, signaling resilience in the labor market. Quits rose for the first time in months, reflecting improving job-seeker confidence, while layoffs remained low. However, hires dipped slightly, possibly due to temporary disruptions like the hurricanes.
November Jobs Report
The December 2024 BLS employment report showed an increase of 227,000 jobs, a bit above economists’ expectation. Please note: Approximately 40,000 jobs stemmed from workers returning after the Boeing strike, and an estimated 25,000 reflected hurricane recovery efforts.
Temporary help services added jobs for the first time in 19 months, reflecting improvement in contingent employment. Average hourly earnings grew 4.1% year-over-year and 0.4% month-over-month, sustaining strong wage growth.
The October 2024 JOLTS report revealed a slight increase in job openings to 7.7 million, signaling resilience in the labor market. Quits rose for the first time in months, reflecting improving job-seeker confidence, while layoffs remained low. However, hires dipped slightly, possibly due to temporary disruptions like the hurricanes.
For a deeper dive….
· A more encompassing measure of unemployment (U6) that includes discouraged workers and those holding part-time jobs for economic held steady at 7.8%.
· Prime age labor force participation rate (ages 25-54) is 83.5% for the second month in row.
· The overall labor force participation was down .1% at 62.5%. This is still .7% below the level of February 2020.
· In November, average hourly earnings for all employees on private nonfarm payrolls rose by 13 cents, or 0.4 percent, to $35.61. Over the past 12 months, average hourly earnings have increased by 4.0 percent. In November, average hourly earnings of private-sector production and nonsupervisory employees rose by 9 cents, or 0.3 percent, to $30.57.
· The average workweek for all employees on private nonfarm payrolls edged up by 0.1 hour to 34.3 hours in November. In manufacturing, the average workweek was little changed at 40.0 hours, and overtime edged up by 0.1 hour to 2.9 hours. The average workweek for production and nonsupervisory employees on private nonfarm payrolls remained at 33.7 hours.
· APD reported that 233,000 jobs were added in October.
Source: ADP, BLS, CNBC, Fox News
JOB OPENINGS AND LABOR TURNOVER – OCTOBER 2024
The number of job openings was little changed at 7.7 million on the last business day of October, the U.S. Bureau of Labor Statistics reported today. Over the month, hires changed little at 5.3 million. The number of total separations was little changed at 5.3 million. Within separations, quits (3.3 million) increased, but layoffs and discharges (1.6 million) changed little. This release includes estimates of the number and rate of job openings, hires, and separations for the total nonfarm sector, by industry, and by establishment size class.
Job Openings
The number of job openings was little changed at 7.7 million on the last business day of October but was down by 941,000 over the year. The job openings rate, at 4.6 percent, changed little over the month. The number of job openings increased in professional and business services (+209,000), accommodation and food services (+162,000), and information (+87,000) but decreased in federal government (-26,000).
Hires
In October, the number of hires changed little at 5.3 million but was down by 501,000 over the year. The hires rate was little changed at 3.3 percent. Hires decreased in private educational services (-24,000).
Separations
Total separations include quits, layoffs and discharges, and other separations. Quits are generally voluntary separations initiated by the employee. Therefore, the quits rate can serve as a measure of workers’ willingness or ability to leave jobs. Layoffs and discharges are involuntary separations initiated by the employer. Other separations include separations due to retirement, death, disability, and transfers to other locations of the same firm.
The number of total separations in October was little changed at 5.3 million but was down by 369,000 over the year. The total separations rate was 3.3 percent for the third month in a row.
In October, the number of quits increased to 3.3 million (+228,000) but was down by 308,000 over the year. Over the month, the quits rate increased to 2.1 percent. Quits increased in accommodation and food services (+90,000).
In October, the number and rate of layoffs and discharges changed little at 1.6 million and 1.0 percent, respectively. Layoffs and discharges increased in retail trade (+60,000) but decreased in durable goods manufacturing (-37,000) and in private educational services (-14,000).
The number of other separations changed little at 301,000 in October.
Establishment Size Class
The hires rate for establishments with 1 to 9 employees decreased in October, while the job openings, quits, layoffs and discharges, and total separations rates showed little change. For establishments with 5,000 or more employees, the job openings, hires, quits, layoffs and discharges, and total separations rates showed little change.
September 2024 Revisions
The number of job openings for September was revised down by 71,000 to 7.4 million, the number of hires was revised up 24,000 to 5.6 million, and the number of total separations was unchanged at 5.2 million. Within separations, the number of quits was revised up by 27,000 to 3.1 million, and the number of layoffs and discharges was revised down by 31,000 to 1.8 million. (Monthly revisions result from additional reports received from businesses and government agencies since the last published estimates and from the recalculation of seasonal factors.)
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The Job Openings and Labor Turnover Survey estimates for November 2024 are scheduled to be released on Tuesday, January 7, 2025, at 10:00 a.m. (ET).
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