In August 2018, the quit rate as a percentage of total US non-farm employment reached a new series-high. Since then, it has fallen back, although by not enough to break the trend.
Figures released as part of the most recent JOLTS report show the quit rate has remained stable for a third consecutive month. During December, 2.3% of the non-farm workforce left their jobs voluntarily, the same rate as in November and October after rounding to one decimal place. Quit rates were highest in the professional/business services and health care sectors while the “other services”, (maintenance and servicing) and retail sectors recorded the largest falls. Overall, the total number of quits slipped from November’s revised figure of 3.49 million to 3.48 million.
Job openings moved in the other direction. Total vacancies during December increased from November’s revised figure of 7.17 million to 7.34 million, led by increased openings in the construction and accommodation/food services sectors. Openings in the retail, manufacturing and federal government sectors were all noticeably lower.
Treasury bond yields mostly increased. By the end of the day, the yield on US 2-year Treasury bonds were unchanged at 2.50% while the 10-year yield had increased by 3bps to 2.68% and the 30-year yield finished up 2bps at 3.02%. According to federal funds futures prices, the probability of a rate rise before the December FOMC meeting remained under 5%.