JOLTs Job Openings
What is JOLTs Job Openings?
The Job Openings and Labor Turnover Survey (JOLTS) tracks job openings, hires, quits, layoffs, and separations across the US economy. Released monthly by the BLS with a one-month lag, JOLTS provides a detailed look at labor demand and worker confidence.
Why does it matter for investors?
JOLTS gained prominence when Fed Chair Powell cited the job openings-to-unemployed ratio as a key metric for labor market tightness. At the 2022 peak, there were 2 job openings for every unemployed worker — a historically tight ratio that justified aggressive rate hikes. The quits rate signals worker confidence: high quits = workers confident they can find better jobs (upward wage pressure).
What to watch for
- ›Job openings number vs. consensus and prior month
- ›Job openings-to-unemployed ratio (above 1.0 = tight labor market)
- ›Quits rate — the "Great Resignation" signal; high quits fuel wage inflation
- ›Layoffs and discharges — a rising layoff rate precedes unemployment increases
- ›How the trend compares to pre-pandemic 2019 baselines
Why does the Fed watch JOLTS so closely?
JOLTS provides the clearest picture of labor demand vs. supply. The ratio of job openings to unemployed workers directly informs how much slack exists in the labor market — a key input for Fed rate decisions.
What is a normal level for job openings?
Pre-pandemic (2019), US job openings ranged from 7–7.5 million. The post-pandemic peak hit ~12 million in early 2022. Readings returning toward the 7–8 million range suggest labor market normalization.
Market Reaction
QQQ & SPY price change ±5 trading days around this event
Source: Yahoo Finance