The number of jobs available in the United States fell in February to 7.57 million, compared with an estimate of 7.66 million. The decline was due to a decrease in job openings in the retail, financial, and service sectors. At the same time, the resignation rate held steady at 2%. Layoffs in the public sector surged to their highest level since 2010 amid massive firings of government workers.
According to Bloomberg economist Stuart Paul, the unexpected drop in job openings confirms the slowdown in the labor market. Employers, fearing a worsening economy, have become more cautious about hiring. Surveys also show a decline in public optimism about job prospects and financial well-being.
The current uncertainty in the markets is leading to reduced consumer spending, which is affecting companies' hiring plans, Paul said. This poses additional risks to US economic growth, he said.
Federal Reserve Chairman Jerome Powell characterizes the current situation as a period of low hiring and low layoffs that will last for several months.