JOLTS defines a job opening as any unfilled position an employer recruits for. Industry job openings in July decreased by 23,000 from June but are up by 10,000 compared to July 2022.
“The demand for labour is beginning to slow,” said ABC Chief Economist Anirban Basu. “Across all industries, job openings are now at the lowest level since March 2021, and the rate at which workers are quitting their jobs has returned to the pre-pandemic norm. As consumer spending buckles under the weight of inflation and the effects of higher interest rates begin to weaken growth, the labour market should continue to cool.
“Unfortunately, the demand for construction workers remains elevated relative to supply,” said Basu. “While the number of open, unfilled construction jobs declined in July, 4.4% of industrywide positions are currently unfilled, a greater share than one year ago and at the start of the pandemic. As a result, contractors remain reluctant to lay off workers. With a majority of contractors expecting to increase their staffing levels over the next six months, according to ABC’s Construction Confidence Index, labour scarcity should remain a headwind through the end of 2023.”
