Job openings shrink, particularly in mfr'g and construction

There was a notable reduction in the number of job openings in December to 7.6mm from 8.16mm in November. The estimate was 8mm. The hiring rate held at 3.4% for a 3rd straight month and one tenth off the lowest level since 2013 not including Covid. The quit rate was 2% for a 2nd month and also one tenth off the recent lows.

In terms of industry, what stood out was the 180k job opening drop in the health care/social assistance sector and we know this sector has been a key driver of job growth. Just maybe current staffing levels are finally back to some normality in healthcare? But also there was a 225k decline in openings in the professional/business service sector. After a jump in November there was a 166k fall in job openings in the financial services industry, which does include real estate leasing.

On the goods side, job openings in construction fell by 55k to the least since 2017 not including Covid. This is an interesting stat to watch because on one hand we have the demand for workers in building data centers and chip and EV battery factories but on the other hand, residential housing starts is well off its highs and building most things in commercial real estate is muted, not a surprise. Manufacturing job opening fell to the least since October 2019 not including Covid.