Turnover Data Shows That It’s Not Layoffs, It’s The Economy, Stupid

The Job Openings & Labor Turnover Survey from the Bureau of Labor Statistics came out yesterday for the month of November, and the results are more of the same: 2.4 million job openings in the country, basically half what it was at the most recent peak in June 2007.

The hires rate remained unchanged in November at 3.2 percent, essentially unchanged since February 2009.

What does this mean? The Heritage Foundation analyzes the numbers.

In the last quarter of 2007—the last quarter before the recession—employers laid off or discharged an average of 1.9 million workers a month. By November 2009, the most recent data available, that figure jumped to 2.1 million workers laid off. Layoffs have increased by 157,000 workers a month (with no rounding) since the start of the recession.

However, monthly new hires have dropped by over one million jobs.

Layoffs are bad, especially when they increase by 150 thousand people a month. But lack of churn seems worse.

Recruiters are going on about how now is the best time to replace underperformers with people eager to work. Let’s see them put their money where their mouths are.

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