Job openings and hires decline in 2023 as the labor market cools

This article discusses national trends for job openings, hires, and separations throughout 2023. Separations are broken down further into quits, layoffs and discharges, and other separations. Among industries, churn rates (hires rates plus separations rates) and job openings rates are examined and analyzed. Next, establishment size class data are presented at the total private level, and the article concludes with a brief look at state data, specifically state job openings compared with unemployment. Overall, the labor market cooled in 2023, as evidenced by data from the Job Openings and Labor Turnover Survey (JOLTS). Following 2 years of growth, the number of job openings fell in 2023. The number of annual hires declined in 2023 for the first time since 2009. Layoffs and discharges increased in 2023. Overall, these trends denote a tightening in labor demand.