Quit Rate Hits Pre-Recession High

The quit rate rose to an 18-year high, rising above a pre-Great Recession peak, signaling that workers feel confident in their ability to score a new job after leaving their current position, according to data from the Federal Reserve Bank of St. Louis. Around 3.6 million workers quit last month, the first time the nominal number rose in a year. The quit rate measures the number of private-sector employees who willingly left their jobs in any given month.

This rise is on-par with indicators pointing to a robust job market. Unemployment is at a near-historic low in the United States. The number of people applying for unemployment benefits, an indicator for layoffs, hit a five-month low at the beginning of September. Job growth is continuing, though slower than its quick clip at the beginning of the year. Last month the U.S. added an average of 150,000 new jobs, down from 232,000 in January of this year. Wage gains have continued into the second half of the year.