Job openings reportedly declined again until May when the U.S. economy approached full recovery and labor shortages appeared to be easing.
The number of job openings across economic sectors fell to 11.25 million at the end of May based on JOLTS data released just now. This reading figure is reported above the median estimate of 11 million openings from economists surveyed by Bloomberg. It also marks the second consecutive month of decline.
The April volume was revised to 11.7 million from 11.4 million based on the report.
The monthly JOLTS survey gives economists new insights into the balance between available workers and labor demand. The gap between the two has defined labor shortages, with companies complaining about a lack of workers to fill job offers. Meanwhile, unemployed Americans point to factors such as the cost of childcare, fear of being infected with COVID and unattractive wages are the reasons why a handful prefer not to work.
Wednesday’s report revealed a slight improvement in matching employees with jobs. The ratio of available employees to job openings offered was at a reading of 0.5 corresponding to an all -time low first seen in March. Such low ratios are usually when the labor market is approaching full energy.
On the other hand, data released in early June showed the U.S. created 390,000 jobs by May, exceeding economists ’forecasts and nearly doubling the average job growth seen before the outbreak of the pandemic. Employee creation is expected to slow in June but there are signals that the corporate sector is still looking for workers to fill vacancies.
The US dollar index, which measures the US dollar against six major currencies, traded 0.5% stronger at 106.942 after the data was released.
