New data reveals a significant cooling in the American labour market, with job vacancies tumbling to their second-lowest point in five years during November. The figures suggest employers remain hesitant to expand their workforces despite broader economic growth.
Key Figures Show a Cooling Market
The US Labor Department released its monthly Job Openings and Labor Turnover Survey (JOLTS) on Wednesday, 7 January 2026. The report showed that businesses and government agencies had 7.1 million open positions at the end of November. This marks a notable decline from the 7.4 million vacancies recorded in October.
This drop places the number of job openings at a level not seen for years, underscoring a shift in employer sentiment. The data, delayed from last autumn due to a government shutdown, provides critical insight into the underlying health of the jobs market beyond the headline unemployment rate.
A "Low-Hire, Low-Fire" Environment Emerges
Interestingly, the report indicated that layoffs also decreased in November. This combination of fewer hires and fewer firings points to a cautious, static environment. Companies appear to be holding onto their existing staff but are reluctant to take on new employees.
Analysts describe this as a "low-hire, low-fire" job market. For workers already in employment, this trend offers a degree of job security. However, for those seeking work, the sharp reduction in openings means finding a new position has become considerably more challenging.
Context and Upcoming Data
The JOLTS report is a vital but separate measure from the more widely followed monthly jobs report, which includes the official unemployment rate. The latest unemployment figures are scheduled for release on Friday, 9 January 2026, and will provide a fuller picture of the employment landscape.
The November JOLTS data signals that the post-shutdown economic recovery has not yet translated into a surge in hiring intentions from employers. This stagnation in job creation will be a key point of analysis for economists and policymakers monitoring the strength of the US economy as it moves into the new year.
