Job openings decreased more than expected in April, showing a possibility of a weakening in the labor market. This will also give the Federal Reserve more reason to consider lowering interest rates. The April jobs report 2024 on Tuesday showed that job openings went down to 8.06 million in April. This decrease in April jobs report 2024 by nearly 300,000 from March and is about 19% lower than a year ago.
Additionally, the total was the lowest since February 2021. The ratio of job openings to available workers decreased from 1.2 to 1 in the April jobs report 2024. This is down from the peak of 2 to 1 when openings were over 12 million in March 2022. This ratio is now back to its pre-Covid level.
April Jobs Report 2024
Fed officials closely monitor the job openings report for April 2024 for signs of labor market slack to guide monetary policy. They have kept interest rates at 23-year highs, awaiting clearer evidence that inflation is approaching the 2% target. The market expects the first rate cut to occur in September.
According to the US Bureau of Labor Statistics, the job openings report for April 2024 remained at 8.1 million on the last business day of April. The number of hires and total separations stayed at 5.6 million and 5.4 million, respectively. Quits were 3.5 million, and layoffs and discharges were 1.5 million. The job openings report for April 2024 provides estimates for job openings, hires, and separations across the nonfarm sector. This is broken down by industry and establishment size.
The job openings report for April 2024 was largely unchanged at 8.1 million. This is down by 1.8 million over the year, with the rate at 4.8%. According to the job openings report for April 2024, job openings decreased in health care, social assistance, and state and local government education. However, the April jobs report 2024 showed an increase in private educational services.
Other Aspects of April Jobs Report 2024
In April, hires remained at 5.6 million with a rate of 3.6% without any change. Hires increased in durable goods manufacturing but decreased in arts, entertainment, recreation, and the federal government.
In the April jobs report 2024, total separations, including quits, layoffs, discharges, and other reasons, stayed at 5.4 million, with a rate of 3.4%. Within total separations, voluntary quits remained at 3.5 million, with a rate of 2.2%. Layoffs and discharges, which are involuntary, stayed at 1.5 million, with a rate of 1.0%. Quits decreased slightly in professional and business services. However, it increased in other services, such as manufacturing durable goods and state and local government education.
While job openings declined in the April jobs report 2024, hires, separations, and quits slightly increased. The information technology sector saw the largest percentage drop in job openings. This is down 1.3% for the month. Previously strong job gainers, health care, leisure, and hospitality also saw a decrease in openings, down 0.8% and 0.6%, respectively.
The Bureau of Labor Statistics report begins a busy week for labor data. On Wednesday, ADP will release its May estimate for private payrolls, which is expected to be 175,000, down from April’s 192,000. Weekly jobless claims will be reported on Thursday. On Friday, the BLS will release the May nonfarm payrolls report, which is anticipated to show growth of 190,000, up from 175,000 in April.
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