In case we needed more proof that the US labor market is in a supply-demand mismatch crisis, a few hours after the latest NFIB showed that it has never been more difficult for small business to fill job openings, moments ago the BLS confirmed what we expected: that the number of job openings in March (recall JOLTS is one month delayed) soared by a massive 597K to 8.123MM in March from an upward revised 7.5MM in February, and the highest on record!
The actual number was a 6-sigma beat to already lofty expectations of a 7.5 million print.
Looking at the details, the increase in job openings was driven by industries with the largest increases in accommodation and food services (+185,000); state and local government education (+155,000); and arts, entertainment, and recreation (+81,000). The number of job openings decreased in health care and social assistance (-218,000). The number of job openings increased the most in the Northeast and Midwest regions.
Separately, in yet another indication of the record surge in demand for labor since the collapse last April when there were 18.1 million more unemployed workers than there are job openings – the biggest gap on record – the gap has since shrunk dramatically to just 2.6 million in February, down from 3.2 million in January. Yes: despite the covid shock, there are just 1.6 million more unemployed people than there are job openings! – READ MORE
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