‘The job openings plunge in May shows further evidence that the economy is hitting the wall of full employment. As the economy ages there’s going to be fewer available jobs out there simply because companies have hired all the workers they need for now.’ – Chris Rupkey, MUFG
Job openings in the United States fell sharply, while hiring was the highest since 2004 and more people left their jobs in May, suggesting that the country’s labour market remained robust. The Labour Department published its Job Openings and Labour Turnover Survey, or JOLTS, on Tuesday, showing that the number of job openings fell 301K to a seasonally adjusted 5.67M in the reported month, following the downwardly revised figure of 5.97M in April. The decrease in May’s job openings was mainly due to the fact that fewer positions were added in transportation, construction, utilities and warehousing services sectors. Meanwhile, the number of hires soared to 5.5M, supported by stronger figures in business, professional and educational services. The number of people voluntarily leaving their jobs rose to 3.2M, as there was enough confidence in the labour market. The report confirmed that the US economy was healthy and close to full employment with only 4.4% unemployment rate.
