Job openings cooled in October according to new data from the Bureau of Labor Statistics, but the need to retain top talent remains critical.
According to the most recent Job Openings and Labor Turnover Survey, job availability fell from 10.7 million in September to 10.3 million in October — meeting economist expectations.
More specifically, the data showed that there were 1.7 job openings for every job seeker in October, a dip from the 1.9 job openings per job seeker seen in September. This indicates that employees still have a slight upper hand when it comes to work preferences, but the incoming recession could change power dynamics once again.
“The mismatch of labor supply and demand has been an irritant to the Federal Reserve, which has been striving to vanquish historically high inflation while also hoping to recover lost credibility,” said Mark Hamrick, senior economic analyst for Bankrate.
Despite October marking the start of seasonal hiring sprees, the report showed that this rate stayed stagnant.
Economists suggest that the market will continue to cool in the new year, particularly among financial and technology industries, the latter of which has seen its largest players conduct unprecedented layoffs.
“You’re seeing weakness in Silicon Valley and on Wall Street, but that is still largely offset by strength and resilience on Main Street, where job growth is still being propped up by pandemic recovery,” said Julia Pollak, chief economist at ZipRecruiter.