Wells Fargo Reports: Job Openings Top 6 Million for First Time Ever in April

Job openings surged to 6.0 million in April, representing a new cycle and series high. The hiring and quit rates dipped, however, highlighting the structural challenges that remain in the labor market.

Job Openings Jump…

• Job openings rose a sizable 259,000 in April, surpassing 6 million in total. Openings growth was generally broad-based, with gains in both the private and public sectors. The few weak spots were concentrated in durable goods manufacturing and retail trade. Over the past year, job openings have grown the fastest in the Northeast and Midwest and in natural resources and mining, manufacturing and education & health.

…But Quits, Hires Fall

• Despite the leap in openings, the hiring rate dipped in the month, and the number of people quitting their jobs also declined. The stagnation in hiring and rising number of job openings suggest structural challenges beneath the ever- cyclically improving labor market. This dichotomy between cyclical improvement and structural headwinds help explain many of the mixed signals present in today’s labor market.