In a worrying sign for the economy under President Trump, the number of open jobs in the United States plummeted to a 14-month low in November, according to the latest data from the Bureau of Labor Statistics. The steep decline in job openings, coupled with sluggish hiring, has economists sounding the alarm about the direction of the economy.
A "No Hire, No Fire" Job Market
The data shows that employers posted just 7.1 million open positions at the end of November, a sharp drop from the 7.4 million openings reported in October. What this really means is that businesses are increasingly reluctant to add new workers, even as the overall economy has shown signs of growth. As Barrons reports, the labor market is stuck in a "no hire, no fire" state, with employers holding onto existing staff but refusing to bring on new hires.
Troubling Implications for the Economy
The bigger picture here is that this pullback in hiring could spell trouble for the economy in 2026 and beyond. As U.S. News & World Report notes, solid economic growth of over 4% in the third quarter of 2025 has not yet translated into a robust job market. In fact, November's job openings were the second-lowest in nearly five years, outside of the anomalous September 2024 figure.
This disconnect between economic growth and hiring raises the specter of a potential recession, as sluggish job gains could eventually drag down the broader economy. There's also the looming question of whether automation and AI will enable steady growth without creating many new jobs, a scenario that would have profound implications for workers and policymakers alike.
As Reuters reports, the Federal Reserve will be closely watching the jobs data as it considers its next move on interest rates. For now, the central bank is expected to hold rates steady, but a continued deterioration in the labor market could force its hand.
For President Trump, whose economic stewardship has been a key part of his political brand, the plunge in job openings represents a troubling development that could undermine his messaging around the strength of the US economy. As his recent efforts to shift the spotlight to the economy have shown, the White House is clearly concerned about the potential political fallout from these economic headwinds.