JOLTS Report

The monthly JOLTS report from the Bureau of Labor Statistics provides data on job vacancies, hires, and separations in the US labor market. This data serves as demand-side indicators of labor shortages at the national level. The survey is conducted by collecting information from a sample of establishments, including details on all job openings, hires, and separations. It also includes the number of employees who quit their jobs voluntarily and those who are laid off or discharged from work.

The report is published on a monthly basis, usually a month after the reference month. The data is based on a sample of establishments stratified by four census regions and 20 two-digit industry codes. The data is also adjusted for seasonality. The JOLTS data and the Current Employment Statistics (CES) data are released. Both reports are essential tools for policymakers and economists to monitor trends in the labor market. They help to identify workforce trends, assess the balance of labor supply and demand, and anticipate future challenges and opportunities in various industries.

How is the JOLTS Data Collected? 

The jolts data is collected from a sample of about 16,000 businesses and includes information on job openings, hires, and separations. It is released on a monthly basis and covers all nonagricultural industries. The data is available by industry based on the North American Industry Classification System (NAICS). This data can be used to determine whether there is a skills gap in the economy or within specific sectors.

For example, if the JOLTS report shows that construction companies have a lot of job openings but low hiring rates, it may indicate that there is a shortage of skilled workers in the sector. This information can be useful to business owners, investors, and policymakers. The jolts report also contains information about labor market churn, which measures the speed at which people are moving between jobs. This measure has slowed nationwide in 2023 but is still strong in Virginia. This is a good sign that the job market is healthy despite cooling from its peak.

JOLTS State Estimates

The JOLTS data is estimated using several processes, including unit nonresponse adjustment, item nonresponse adjustment, benchmarking, automatic outlier detection, estimates review and outlier selection, alignment, seasonal adjustment, and establishment size class imputation. The resulting estimates are then merged at the state and regional level to produce composite synthetic data. These estimates are based upon a model and are updated annually in June.

The jolts report is an important tool for businesses and economic policymakers, as it offers insight into workforce trends and the overall economy. It helps them identify potential challenges and opportunities and make data-driven decisions. It also helps them predict future economic outlooks and forecast monetary and fiscal policies. The jolts report can also help businesses identify the skills gap in their industry and develop targeted training programs. This can save businesses time and money and ensure they remain competitive in the market.