Is the U.S. job market really starting to cool off? Here’s what the data tells us
Fewer workers are handing in resignations than in November 2021, when the percentage of people quitting jobs hit a record high. But employees continue to job-hop with vigor: 4.3 million workers quit their jobs in May.The majority of workers who left their jobs in the past two years took roles in other industries, according to a survey of more than 13,000 workers conducted between February and April by consulting firm McKinsey & Co.
For employers in industries such as finance and insurance, where more than half of those who quit have left the sector, those moves have led to worker shortages that could benefit job seekers.Job cuts remain relatively low, but concerns are growing. More than three-quarters of U.S. workers fear losing their jobs if there is a recession, according to a survey of more than 1,000 employees conducted in June by staffing firm Insight Global. The layoff rate as measured by federal data was 0.
Outplacement firm Challenger, Gray & Christmas Inc., which tracks monthly layoffs, found that job cuts rose between May and June. Cuts have been concentrated in industries such as technology, automotive and consumer products—those affected most by rising interest rates, supply-chain issues and a slowdown in pandemic-driven demand for goods.There are currently 11.3 million open jobs in the U.S., according to federal data—almost two open jobs for every person who is unemployed and looking for work. Even as some sectors pull back on hiring, industries like leisure and hospitality are struggling to staff up.
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