DHI-DFH Measure of National Mean Vacancy Duration
January 2001 to May 2016

The duration measure reflects the vacancy concept in the Job Openings and Labor Turnover Survey (JOLTS).  Specifically, a job opening gets “filled” according to JOLTS when a job offer for the open position is accepted.  So the DHI-DFH vacancy duration statistics refer to the average length of time required to fill open positions.  Typically, there is also a lag between the fill date and the new hire's start date on the new job.

“Vacancy durations remain near historic peaks, suggesting a scarcity of qualified candidates for many job openings or a cautious approach to hiring decisions,” said Dr. Steven Davis, William H. Abbott Professor of International Business and Economics at the University of Chicago Booth School of Business. Davis is a co-creator of the DHI-DFH Recruiting Intensity Index and the DHI-DFH Mean Vacancy Duration Measure. 

"Employers tell us sourcing for highly skilled candidates is a priority, however finding top talent continues to be difficult, which is extending the hiring process and lengthening the time-to-fill open positions. This is particularly apparent in the financial services and healthcare industries," said Michael Durney, President and CEO of DHI Group, Inc. "There is a level of economic uncertainty globally having an impact on hiring managers here in the U.S. Companies continue to hire, albeit at a slower pace than last year."


Recruiting Intensity Per Vacancy
January 2001 to May 2016

The DHI-DFH Recruiting Intensity Index, plotted in the above chart, fell to 0.99 in May, down from a revised value of 1.00 in April.

 


Measures of Labor Market Slack
January 2001- May 2016

The above chart displays four other indicators of labor market slack, including a new indicator developed at the Federal Reserve Bank of Richmond, alongside the mean vacancy duration.  All four measures in the chart point to considerable tightening of U.S. labor markets since mid-2009. The ratio of job vacancies to short term unemployment and the vacancy duration measure suggest a stronger labor market recovery than the quits rate or the ratio of job vacancies to all unemployed persons.