The Fed's key labor report for October reveals that job openings increased while hiring decreased.

• Job openings totaled 7.74 million on the month, up 372,000 from September.
• The labor market was disrupted by violent storms in the Southeast and two major labor strikes involving dock workers and Boeing, which led to a decline in hiring.

The Bureau of Labor Statistics reported Tuesday that while the number of available jobs increased in October, hiring decreased, and payrolls growth reached its lowest level in nearly four years.

The BLS reported that job openings increased by 372,000 to 7.74 million in October, exceeding the Dow Jones estimate of 7.5 million and rising the rate of openings as a share of the labor force to 4.6% from 4.4%.

The ratio of available positions to unemployment workers increased to 1.1, which is half of its peak value during the 2022 supply and demand gap.

The hiring rate decreased by 0.2 percentage point to 3.3% in a month when the labor market was disrupted by violent storms in the Southeast and two major labor strikes involving dock workers. Hires totaled 5.31 million, down 269,000 on the month.

While layoffs decreased by 169,000 to 1.63 million in October compared to September, the number of voluntary job quitters increased by 228,000 to 3.33 million, also in October.

The BLS reported nonfarm payroll growth of 12,000 in the month with the worst performance since December 2020.

The JOLTS report is closely monitored by the Federal Reserve for indications of labor market tightness or slack. It is anticipated that the Fed will reduce its benchmark borrowing rate by a quarter percentage point during its upcoming meeting, in part to prevent any potential labor market weakness.