The number of US employees who quit their jobs as a percentage of total employment increased slowly but steadily after the GFC. It peaked in August 2018, stabilised and then remained largely unchanged through the remainder of 2018 before it hit a new peak in July 2019 and then tracked sideways.
Figures released as part of the most recent JOLTS report show the quit rate has been maintained at just under the record levels reached in July 2019. 2.3% of the non-farm workforce left their jobs voluntarily in February, the same rate as January’s revised figure of 2.3% and the same rate as in pretty much all of 2019.
Quit numbers were highest in the “Other Services” sector while the “Professional/business services”, “Accommodation & food services” and “Other services” sectors recorded the largest falls. Overall, the total number of quits for the month decreased from January’s revised figure of 3.574 million to 3.497 million in February.
Total vacancies during February fell by 130,000 from January’s revised figure of 7.012 million to 6.882 million, driven by increases in the “Other Services” and “Retail trade” sectors. Unlike the previous month’s report, slightly more sectors experienced a contraction in vacancies than the number of sectors which expanded. Overall, 11 out of 19 sectors experienced fewer job openings than in the previous month.
National Australia Bank Head of FX Strategy Ray Attrill noted job openings had fallen by less than expected “but this will be a whole different story in March.”