Job openings and resignations increased substantially in October while the number of hires and layoffs dropped, according to a Tuesday report from the Bureau of Labor Statistics that showed a mixed picture of the U.S. labor market.
The increased number of job openings appeared mostly in professional and business services, as well as service and IT industries, jumping by 372,000 to 7.7 million. While this is a good start to evening out the ratio between unemployed workers and job openings, according to CNBC, the figure still falls short of the 8.7 million job postings in 2023.
Still, workers seem to be regaining their confidence in the job market. Resignations increased by 228,000, a rebound from a four-year low in September, according to PBS — marking an optimistic sign for the economy.
Workers’ confidence in the job market could have something to do with the level of layoffs dropping by 169,000 to a historical low. According to Reuters, this not only drives consumer spending, but stabilizes the labor market and broader economy as well.
While that may sound like a good thing all around, it may be why employers are showing signs of hesitance about hiring new workers, with payroll growth decreasing by 269,000. There are other likely factors at play — mostly attributed to disruption from hurricanes and labor strikes involving dockworkers and Boeing.
The jumps and drops may sound tumultuous for the market, but economists aren’t too worried.
"The [labor market] report points to ongoing resilience and doesn't flag major concerns about the economy," Oren Klachkin, financial market economist at Nationwide, told Reuters. "The Fed can probably push through with another rate cut before considering a pause next year."
