The U.S. Department of Labor’s Job Openings and Labor Turnover Survey showed an increase in available manufacturing roles in January. NAM Chief Economist Chad Moutray explained what we saw and what it all means.
Creators wanted: “There were 855,000 manufacturing job openings in January, up from a revised 746,000 in December,” said Moutray. “Durable and nondurable goods postings were both higher in January. The number of job postings continues to be well above pre-pandemic levels, as companies ramp up activity and need more workers to meet the additional capacity. Over the past 10 months, job openings in the sector have averaged 873,000, including the record 943,000 in July.”
Quits rise: “In addition, total quits in the manufacturing sector rose from 322,000 in December to 331,000 in January, a new record,” said Moutray. “That translated into 2.6% of the manufacturing workforce and continues a trend of very significant ‘churn’ in the labor market, exacerbating the workforce difficulties that companies are experiencing. At the same time, there were 4,252,000 quits in the nonfarm business economy, slipping for the second straight month from the record 4,510,000 in November but remaining very elevated.”
Hiring increases: “Manufacturers hired 483,000 workers in January, up from 457,000 in December and the highest in 21 years,” said Moutray. “Both durable and nondurable goods firms hired more workers in January. Total separations increased from 434,000 to 476,000, a 13-year high. Therefore, net hiring (or hiring minus separations) was 7,000 in January, slowing from 23,000 in December. Net hiring has averaged 36,000 over the past nine months.”
The NAM’s solution: Learn more about Creators Wanted, the NAM and the MI’s workforce-development campaign aimed at attracting the next generation of talent.