U.S. job openings declined in February, indicating a significant slowdown in hiring.

U.S. job openings declined in February, and hiring slowed significantly, indicating that labor demand had cooled before the additional uncertainty caused by the war in Iran. Data released Tuesday by the Bureau of Labor Statistics showed that job openings fell to 6.88 million from an upwardly revised 7.24 million in January. The simultaneous slowdown in both hiring and openings, after a rebound in job openings at the beginning of the year, suggests that businesses are becoming more cautious about hiring after a year of near-zero growth. Looking ahead, the surge in oil prices triggered by the war could push up business operating costs and hinder further hiring. The decline in job openings was primarily driven by a slowdown in accommodation and food services, healthcare and social assistance, and manufacturing. The hiring rate fell to its lowest level since April 2020, while the layoff rate rose slightly. Although large companies, including Meta and Oracle, are proceeding with large-scale layoffs to reallocate resources to investments in artificial intelligence, the overall level of layoffs in the economy remains relatively mild. (Jinshi)