In November, U.S. employers significantly reduced the number of available job positions compared to the previous month, reflecting a continued hesitancy in expanding their workforce even as economic indicators show growth acceleration. According to the latest Labor Department report released on Wednesday, both private businesses and government entities collectively advertised 7.1 million open roles at the month's end, a decline from 7.4 million openings recorded in October.
While hiring levels have decreased, layoffs also fell over the same period. This reduction in job terminations indicates that companies are opting to maintain their existing staff rather than actively pursuing new hires. The employment landscape thus continues to demonstrate a 'low-hire, low-fire' environment, where workers currently employed benefit from relative job stability, but those seeking employment opportunities face increased difficulties.
These labor market patterns occur concurrently with evidence of robust economic growth, which reached an annualized rate exceeding 4% during the July to September quarter of last year, the most recent available data set. Economic forecasts suggest that while growth may have moderated in the final quarter of 2025, it nevertheless remained solid.
The divergence between labor market sluggishness and economic expansion presents a complex scenario. Businesses appear cautious about increasing headcount despite favorable economic conditions, which could reflect underlying uncertainties or strategic workforce management preferences. Retention of existing employees with fewer layoffs contrasts traditional hiring trends aligned with growth phases.
For job seekers, this environment signals ongoing challenges in finding openings, as the volume of new vacancies diminishes. Conversely, the labor force benefits from greater job security due to lower layoff rates. This situation bears implications for sectors sensitive to labor availability and staffing costs, including retail, manufacturing, and governmental services.