WASHINGTON, USA – US job openings unexpectedly rose in December, showing demand for labor remains strong despite higher interest rates and mounting fears of a recession, which could keep the Federal Reserve on its policy tightening path.
Job openings, a measure of labor demand, increased by 572,000 to a five-month high of 11.0 million on the last day of December. Economists polled by Reuters had forecast 10.250 million job openings. There were an additional 409,000 unfilled jobs in the accommodation and food services industry. Employment in the industry remains below its pre-pandemic level. Retail trade reported 134,000 more vacancies. Construction, which has been hammered by higher borrowing costs, had 82,000 more openings.
Only one of the six largest manufacturing industries, transportation equipment, reported growth. Comments from manufacturers were mixed, with some describing business as “still strong,” while others said “sales have dropped.”