California job openings tumble 42% in 2 years

“Swift swings” takes a quick peek at one economic trend.

The number: California is suffering from the nation’s second-biggest drop in job openings since the Federal Reserve began hiking interest rates two years ago.

The source: My trusty spreadsheet looked at job openings for the 50 states and Washington, D.C., for March – the latest available – and compared them with March 2022.

The why: The Fed began its battle against four-decades-high inflation two years ago in March, using costlier financing to cool an overheated economy. So we also looked at pre-pandemic 2018-19 as a measurement of “normal” hiring patterns.

Quick analysis 

California had the nation’s second-largest number of openings in March 2024 – 734,000, or 9% of the 8.3 million US total. Texas was No. 1 at 807,000. Florida was third at 543,000, followed by New York at 532,000 and Illinois at 385,000.

If you want to see one example of how effective the Fed has been at chilling the economy, consider how many workers bosses say they need – now versus two years ago.

California job openings have tumbled 42% since March 2022. It’s not just this state, though, as there’s been a 31% decline nationally.