Job openings fell from 7.4 million in June and landed slightly below economists’ expectations. Photo from Tim Mossholder, Unsplash.

News Release

WASHINGTON D.C. — U.S. employers advertised 7.2 million job openings in July, the Labor Department said, as demand for workers continues to ease after several years of historic strength.

Openings fell from 7.4 million in June and landed slightly below economists’ expectations. Health care and social assistance companies reduced postings by 181,000, while retailers cut 110,000. Layoffs edged higher, while the number of Americans quitting their jobs, typically a sign of worker confidence, held steady at 3.2 million.

Job openings remain elevated by historical standards but have steadily declined from a record 12.1 million in March 2022, when hiring surged in the aftermath of the pandemic. Economists point to the Federal Reserve’s series of interest rate hikes in 2022 and 2023, as well as uncertainty from Pres. Donald Trump’s trade policies, as key factors behind the slowdown.

The economy has added an average of 85,000 jobs a month this year, down from 168,000 in 2024 and far below the 400,000 monthly pace seen between 2021 and 2023. Forecasters expect a modest gain of about 80,000 jobs in August’s report.

Revisions earlier this summer erased 258,000 jobs from May and June payrolls, underscoring the labor market’s weakening momentum. The White House has faced mounting criticism after Trump fired the head of the Bureau of Labor Statistics over the disappointing figures.

For the first time since April 2021, job openings fell below the number of unemployed Americans in July, a sign it may now be harder for workers to secure new opportunities.