The latest Job Openings and Labor Turnover Survey (JOLTS) showed that job openings declined slightly in January, falling from a downwardly revised 8.889 million in December to 8.863 million. The hiring rate dropped from 3.7% to 3.6% while the quit rate fell from 2.2% to 2.1%, suggesting there’s a lack of employers trying to entice workers with other offers.
What’s the bottom line? The number of job openings may be weaker than the headlines suggest since the rise in remote work has led to job listings being posted in multiple states more frequently. While the Fed watches this report to monitor slack in the labor market, there are flaws in the data.