More job openings appeared in October

December 9, 2025

The number of job openings rose in October. There were 7.7 million jobs available at the end of October, according to the latest Job Openings and Labor Turnover Survey (JOLTS). That was unchanged from the partial data collected in September and up from 7.2 million in August.

The ratio of job openings to unemployed job seekers, a measure of balance in the labor market tracked closely by Federal Reserve officials, came in flat at 1.0 in September. Before rounding, it ticked up slightly due to a larger increase in job openings than unemployed job seekers. (We cannot compute the October figure because data for the Household Survey were not collected). 

Real-time data from Indeed Hiring Lab show that advertised job postings fell in September and October before rebounding in November. Postings rose by more than three percentage points in November. That puts them at a similar level to September but lower compared to earlier this year.

Job openings increased in small businesses (firms with 1-49 employees) but the pace of actually filling those positions did not rise. The ADP employment report found that small businesses shed 24,000 jobs in October. The new November report posted a loss of 120,000. Small businesses are showing signs of buckling under the weight of uncertainty and policy shifts.

The overall hiring rate was 3.2% in October, the same as in August. That is substantially below the pre-pandemic average hiring rate of 3.9%. A 3.2% hiring rate coincided with an unemployment rate of between 8-9% in the early 2010s; it is very difficult finding a new job right now.

Layoffs edged higher to 1.2% from 1.1%. Despite prominent news stories about layoffs at large firms, aggregate layoffs have stayed historically low. The low hiring environment, however, makes any marginal increase in layoffs that much more impactful.

Job cuts in the accommodation and food services industry drove much of the increase in the layoff rate. Consumer demand for restaurants and lodging has cooled except for high-end households. The government shutdown took a toll on travel and tourism, as flight cancelations mounted near the end of October. The late timing of Thanksgiving is another factor; that delayed the official start of the holiday season. The good news is that layoffs were flat or declined in many industries.

Quits dropped to 1.8%, the lowest rate since the 1.5% rate in April 2020. Besides the pandemic, the last time workers held onto their jobs at this rate occurred in the early 2010s during the long recovery from the Great Financial Crisis. The Labor Leverage Ratio, a proxy for worker bargaining power, dropped in October as quits fell and layoffs rose.

The construction industry remains weak. Though job openings increased slightly from August, hiring, quits and layoffs all fell. Construction wages have begun to accelerate, despite the weak demand. A shortfall in immigrant labor is one reason. The government and professional and business services sectors were largely unchanged.

The median wage growth of job switchers expanded to 4.6% in September, up from 4% in July; that's from the Federal Reserve Bank of Atlanta. At the same time, those who stayed in their jobs saw their wage growth slow to 3.8% from 4.1%. That reflects competition for top talent, especially in fields where the AI arms race is intensifying.