The number of available jobs posted by U.S. employers rose in December to the highest level in 14 years, a sign recent strong job gains will likely continue. Employers also filled more jobs and more employees quit, two additional signs of an improving labor market.
Job openings rose 3.7 percent to a seasonally adjusted 5 million, the Labor Department said Tuesday. That is the most since January 2001. Total hires also increased 1.9 percent to 5.1 million, the most in more than seven years.
The number of quits rose 2.1 percent to 2.7 million. More quits are a sign of confidence in the economy, because people typically quit when they have another job lined up, usually at higher pay, or are optimistic that they can find a new position.
More openings are usually followed by greater hiring. Businesses appear increasingly confident that the economy will continue to improve and are seeking more staff to meet stronger demand.
“Job openings continue to rocket,” said Ian Shepherdson, chief economist at Pantheon Macroeconomics. “Wage gains will follow.”
The figures echo last week’s jobs report, which showed that businesses are hiring workers at a robust pace and even paying more to attract them. Employers added 257,000 jobs in January, and wages rose at the fastest one-month pace in six years.
Hiring has accelerated in the past three months to the fastest pace since 1997. Employers have added more than 1 million jobs just since November.