BLS: Job Openings and Labor Turnover Survey points to moderate improvement in the labor market

There were 4.671 million job openings on the last business day of June, up slightly from 4.577 million in
May, the U.S. Bureau of Labor Statistics reported today. The hires rate (3.5 percent) was little changed and the separations rate (3.3 percent) was unchanged in June. Within separations, the quits rate (1.8 percent) and the layoffs and discharges rate (1.2 percent) were unchanged.

There were 4.830 million hires in June, little changed from 4.738 million in May. The number of hires was little changed for total private, government, and all industries and regions.

There were 4.547 million total separations in June, little changed from May's 4.530 million. The number of total separations was little changed for total private and government. The quits rate remained unchanged at 1.8 percent in June. The quits rate was little changed for total private (2.1 percent) and remained unchanged for government (0.6 percent). Over the month, the quits rate was little changed for all industries. The quits rate increased in the South region in June.

Overall, the rise in the hires rate suggests moderate improvement in the labor market. This is a plus along with the higher job openings rate. The numbers are not dramatic but may suggest that the Fed will be rethinking the timing of policy rate increases. Emphasis should be on rethinking rather than on actual changes-the Fed under Chair Yellen likely will wait on several months of labor market data and not rely on just one month.