At the same time, the volume of hiring has decreased, which indicates an aggravation of the shortage of labor.
The number of vacancies in the United States increased sharply in October, while hiring declined, indicating an aggravation of the labor shortage, and this may hinder the growth of employment and the economy as a whole.
The monthly report of the Ministry of Labor on vacancies and staff turnover also showed a steady decline in the number of layoffs, which is also a sign of a shortage of labor. Although the number of people who voluntarily quit their jobs has decreased, it remains quite high.
“Under normal circumstances, a close to a record number of vacancies would be a cause for joy,” said Jennifer Lee, senior economist at BMO Capital Markets in Toronto. – But no employer has a joyful mood. It is difficult to fulfill orders or meet customer needs when there are not enough people to do the work.”
The number of new vacancies, which is an indicator of labor demand, increased by 431,000 to 11 million by the last day of October. This is the second-largest indicator in the entire history of observations. Economists polled by Reuters predicted 10.4 million vacancies.
The growth leader was the hotel and restaurant services sector, where the number of vacancies increased by 254,000. 45,000 new jobs were created in the production of durable goods, and the number of vacancies in the educational services sector increased by 42,000. At the same time, the number of vacancies in state institutions and municipalities, excluding educational institutions, decreased by 115,000.
Regionally, job growth was most pronounced in the south of the country, and moderate growth was recorded in the West and Midwest. In the Northeast, the number of vacancies has decreased. In September, the number of vacancies increased from 6.7 to 6.9 percent.
In October, hiring decreased by 82,000 jobs to 6.5 million. The largest decline occurred in the financial and insurance industries, where the number of jobs decreased by 96,000 people. At the same time, the recruitment of employees to educational institutions, as well as to state and municipal authorities has increased. The hiring rate did not change and remained at 4.4 percent.
In October, there were about 1.5 vacancies for every unemployed person.