The Labor Department reports Tuesday that March saw more employment opportunities than the available workforce. In addition, a record-breaking number of workers quit their jobs.
According to the Job Openings & Labor Turnover Survey, the monthly level of job postings reached 11.55 millions. This is a new record that dates back to December 2000. It was up 205,000 over February. This is indicative of an historically tight jobs market.
During the same period, the quits totaled 4.54million, an increase in 152,000 since the previous month, which was part of the ongoing Great Resignation. It was the Covid pandemicThere are many opportunities available to workers in this era who feel comfortable leaving their jobs for more lucrative ones.
According to this report, inflationary pressures are expected to drive the Federal Reserve towards a string of aggressive rate rises. They will begin Wednesday’s half-percentage point increase.
Due to a shortage in labor supply, wages have risen. Average hourly earnings rose by 5.6% in March from one year ago. However, this has not kept pace with inflation which is at 8.5% over the same period.
March saw a decline in supply, which was reflected in fewer new jobs and a decrease in the total number of openings. Total separations increased to 6.32 million. This is almost 4% more than February.
There were 45,000 fewer job opportunities in the key leisure and tourism industry. This is 2.6% less than the monthly average, but there was an increase of 40,000. Although the sector has a lower unemployment rate than before the pandemic, it is still considered to be a crucial indicator for economic recovery. It currently stands at 5.9%.
Tuesday’s release coincides with the important April nonfarm payrolls data. Dow Jones polled economists to predict an increase of 400,000 job openings, and a drop in unemployment rates to 3.5%. This is the equivalent of the December 1969 low.
Correction: The number of job openings in pivotal leisure/hospitality declined by 45,000 The category was not included in an earlier version.
