US: Job openings little changed in August - Wells Fargo

Analysts from Wells Fargo,  point out that job openings edged down slightly in August but remain near record highs. They point out that hiring intentions at the end of August suggests that last month’s storm-related drop in payrolls will soon be reversed. 

Key Quotes: 

“The job opening rate remained at a record high 4.0 percent in August as the level of openings ticked down only slightly. Compared to last August, postings are up 10.8 percent.”

“The elevated level of job openings at the end of August underscores that the September drop in payrolls was the result of the recent hurricanes and that demand for labor is holding up.”

“Turnover was lower in August, with both gross hires and separations falling over the month. Separations were dragged down by fewer layoffs, but also fewer workers quitting their job.”

“The quit rate has stayed within a band of 2.1-2.2 percent this year, on par with the highs of the previous cycle. The higher rate of workers quitting should put some modest upward pressure on wages as job switchers tend to see stronger earnings growth.”