Resignations surged over 3 million
According to a recent report, job openings have risen in recent months to more than 7.5 million while layoffs dropped to 1.6 million. Resignations surged over 3 million as workers grew more confident in finding better opportunities. Indeed Hiring Lab economist Cory Stahle said, “While concerning on the surface, some of the slowing in hiring may be the result of hurricane disruptions, as employers may have been keeping openings up but pushing back interviews or start dates to deal with the fallout from Helene and Milton.” Join us in this slideshow as we explore the issue in greater detail.
Partly due to storms
Hiring slowed significantly, dropping to 5.31 million, partly due to storms in the Southeast and strikes.
Potential labor market weakness
The Federal Reserve may decide to cut rates further to address potential labor market weakness.
Small businesses
Small businesses accounted for 321,000 new job openings, while the professional and business services sector added 209,000 positions. Federal jobs fell by 26,000.
The report points to ongoing resilience
Oren Klachkin, financial market economist at Nationwide, said, “The report points to ongoing resilience and doesn’t flag major concerns about the economy.”
Another rate cut
Klachkin added, “With policy still restrictive in its view, the Fed can probably push through with another rate cut before considering a pause next year.”
Signaling stability in the labor market
The Federal Reserve’s rate cuts and inflation control measures have slowed hiring, but layoffs remain low, signaling stability in the labor market.
Difference between hires and separations
Matthew Martin, a senior U.S. economist at Oxford Economics, said, “But the difference between hires and separations lends downside risk to our forecast for a sizeable rebound in November nonfarm employment.”