The American job market remained strong at the start of the year amid unwavering inflation, with U.S. employers posting 10.8 million job openings in January. As reported by the Labor Department on Wednesday, the U.S. job market remains historically strong despite a decline from the 11.2 million job openings posted in December.
Compared to December, employers hired more workers in January despite a decline in job openings. Still, layoffs were also on the rise. January marked the 20th consecutive month when job openings exceeded 10 million. This feat had never been achieved before 2021 according to Labor Department data spanning back to 2001.
Despite signs of a strong labor force, the Labor Department’s monthly Job Openings and Labor Turnover Summary (JOLTS) report displayed some signs that the labor market is cooling. In addition to major layoffs from big tech companies such as Google and Amazon, the number of employees quitting their jobs fell to the lowest level since April 2021; a sign that workers are not confident about finding better pay or working conditions elsewhere.
In January, the unemployment rate fell to 3.4%; the lowest level since 1969.
