- US job openings totaled 11.3 million in February, according to JOLTS data published Wednesday.
- That's barely down from January's count and above the median forecast for 11 million openings.
- The ratio of available workers to job openings held at 0.6, the lowest reading on record.
The labor shortage barely eased through February as hiring boomed and more Americans rejoined the workforce.
US job openings fell slightly to 11.3 million last month, according to Job Openings and Labor Turnover Survey, or JOLTS, data published Wednesday by the Bureau of Labor Statistics. Economists surveyed by Bloomberg held a median forecast of 11 million openings. The reading brings job openings to their lowest since December, though the sum still sits well above the pre-pandemic average of about 7 million.
Openings fell the most in the finance and insurance sector, with such firms shedding 63,000 openings. Non-durable goods manufacturers followed with a 39,000-opening decline.
The arts, entertainment, and recreation sector saw the biggest jump in openings, with businesses adding 32,000 roles through the month. Educational services added 26,000 openings, and the federal government counted for 23,000 listings.
The report offers new detail on just how well the labor market rebounded through February. The month's jobs report showed the US adding 678,000 nonfarm payrolls, blowing the median forecast for 440,000 new jobs out of the water. The unemployment rate also improved more than expected, sliding to 3.8% from 4% and resuming its steady decline to pre-crisis levels. Revisions to December and January payroll growth brought yet another rosy update and cut further into concerns that the Omicron wave dented job creation.
Labor force participation also edged higher, albeit to levels still far from marking a full recovery. The measure has taken on more relevance than usual through the pandemic recovery as millions of Americans stick to the job market's sidelines. That trend helped keep the labor shortage alive, as it withheld worker supply while job openings soared higher.
Quits, like openings, were little-changed through February. Nearly 4.4 million Americans walked out of their jobs last month, up from the prior month's reading of 4.3 million. That marks the ninth straight month that more than 4 million Americans quit or changed their jobs. Quitting rose the most in the retail, durable goods manufacturing, and government education sectors, according to the JOLTS report.
There were roughly 0.6 available workers for every job opening in February, holding at the same record low seen since December. Put another way, there aren't enough workers for every job opening across the country.
That kind of imbalance reveals "a very, very tight labor market — to an unhealthy level," Federal Reserve Chair Jerome Powell said in a March 16 press conference. The worker shortage puts more pressure on businesses to raise prices as they look to service overwhelming demand. If that cycle becomes entrenched, it could leave inflation trapped at uncomfortably high levels, he added.