In September, 3.6 million Americans quit their jobs, just below the record high 3.65 million job quitters in August, according to Yahoo Finance. The overall quits rate for the private sector in September held at 2.4 percent for the third month in a row, matching a 17-year high.
This story by Myles Udland originally appeared in Yahoo Finance.
Quits are seen a positive economic indicator, with the thinking being that folks won’t leave a job unless they are reasonably confident they could easily get another one, according to Yahoo Finance.
With the unemployment rate currently at 3.7 percent and the economy continuing to create in excess of 200,000 jobs per month, the headline data about the labor market suggests things are very good for American workers right now. The quits data add more depth to that assertion.
Looking below the headline quits numbers and the picture gets even better. And portends more wage growth.
Matt Busigin, a portfolio manager at New River Investments, noted Tuesday that the number of quits in the accommodation and food services industry hit a record high of 709,000 in September. As a percent of people employed in the industry the quits rate hit 5.1 percent in September, its highest level since November 2007.
