Companies unexpectedly cut 301,000 jobs in January as omicron slams jobs market, ADP says
Source: CNBC
ECONOMY
Companies unexpectedly cut 301,000 jobs in January as omicron slams jobs market, ADP says
PUBLISHED WED, FEB 2 20228:15 AM EST
Jeff Cox
@JEFF.COX.7528 https://facebook.com/jeff.cox.7528
@JEFFCOXCNBCCOM https://twitter.com/JeffCoxCNBCcom
KEY POINTS
-- Private payrolls fell by 301,000 for January vs. the estimate for a 200,000 gain, according to payrolls processing firm ADP.
-- This was the first reported net job less since December 2020 and came as surging omicron cases hit hiring.
-- The pandemic-sensitive leisure and hospitality industry was the hardest hit, losing 154,000 jobs.
Companies cut jobs in January for the first time in more than a year as the omicron spread appeared to hit hiring, payroll processing firm ADP reported Wednesday.
Private payrolls fell by 301,000 for the month, well below the Dow Jones estimate for growth of 200,000 and a marked plunge from the downwardly revised 776,000 gain in December. It was the first time ADP reported negative job growth since December 2020.
The pandemic-sensitive leisure and hospitality industry was responsible for more than half the decline, as companies reported a drop of 154,000. Trade, transportation and utilities cut 62,000 while the other services category declined by 23,000.
Manufacturing also lost 21,000 positions, while education and health services reported a drawdown of 15,000 and construction fell by 10,000. ... Service-providing industries were responsible for 274,000 of the job losses, with goods producers falling by 27,000.
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Read more: https://www.cnbc.com/2022/02/02/adp-jobs-report-january-2022.html
From the source:
https://adpemploymentreport.com/2022/January/NER/NER-January-2022.aspx
JANUARY 2022
ADP National Employment Report
Private-sector employment decreased by -301,000 from December to January, on a seasonally adjusted basis.
https://adpemploymentreport.com/2022/January/NER/docs/ADP-NATIONAL-EMPLOYMENT-REPORT-January2022-Final-Press-Release.pdf
ADP National Employment Report: Private Sector Employment Decreased by 301,000 Jobs in January ROSELAND, N.J. February 2, 2022 Private sector employment decreased by 301,000 jobs from December to January according to the January ADP® National Employment ReportTM. Broadly distributed to the public each month, free of charge, the ADP National Employment Report is produced by the ADP Research Institute® in collaboration with Moodys Analytics. The report, which is derived from ADPs actual data of those who are on a companys payroll, measures the change in total nonfarm private employment each month on a seasonally-adjusted basis.
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Total Employment
Change in Nonfarm Private Employment
Historical Trend
Change in Total Nonfarm Private Employment
Change By Company Size
Change in Total Nonfarm Private Employment by Company Size
Alexander Of Assyria
(7,839 posts)Its concern Mega business might have to cough up some profits to pay the workers, who are in such high demand
thats the concern.
Thank you President Biden, Democrats in control
the news always leaves that part out.
jimfields33
(15,703 posts)mahatmakanejeeves
(57,319 posts)Treasury yields fall as investor focus turns to ADP employment report
PUBLISHED WED, FEB 2 2022 4:02 AM EST | UPDATED 3 HOURS AGO
Vicky McKeever
@VMCKEEVERCNBC https://twitter.com/VMcKeeverCNBC
PUBLISHED WED, FEB 2 2022 4:02 AM EST | UPDATED 37 MIN AGO
Tanaya Macheel
@TANAYAMAC https://twitter.com/tanayamac
Vicky McKeever
@VMCKEEVERCNBC https://twitter.com/VMcKeeverCNBC
KEY POINTS
-- Private payroll services firm ADP is set to release its January employment change report at 8:15 a.m. ET.
-- Economists polled by Dow Jones are expecting 200,000 private jobs were added in January, down from Decembers growth of 807,000 private payrolls.
U.S. Treasury yields fell early on Wednesday, with investor attention turning to ADPs latest employment report, due out later in the morning.
The yield on the benchmark 10-year Treasury note dipped 2 basis points lower to 1.7769% at 3:45 a.m. ET. The yield on the 30-year Treasury bond moved 2 basis points lower to 2.0988%. Yields move inversely to prices and 1 basis point is equal to 0.01%.
{snip}
WHITT
(2,868 posts)I hope Powell is paying attention.
NOT A TIME TO BE RAISING INTEREST RATES.
mahatmakanejeeves
(57,319 posts)Wed Jan 12, 2022: Links to earlier reports:
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Sat Dec 4, 2021: Links to earlier reports:
Wed Dec 1, 2021: Links to additional earlier reports:
Fri Nov 5, 2021: (I had to split the links into two posts, due to "Forbidden 403" issues)
Links to earlier reports:
Links to additional earlier reports:
Wed Nov 3, 2021: Links to earlier reports:
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Wed Oct 6, 2021: Links to earlier reports:
Fri Sep 3, 2021: Links to earlier reports:
Thu Sep 2, 2021 (in the Friday, August 6, BLS thread): Links to earlier reports:
Wed Aug 4, 2021: Links to earlier reports:
Sat Jul 10, 2021: Links to earlier reports:
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Wed Dec 2, 2020: Links to earlier reports:
Updated from this post of Friday, December 6, 2019: Good morning. Links to earlier reports:
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[center]Past Performance is Not a Guarantee of Future Results.[/center]
ADP® (Automatic Data Processing), for employment in January 2022 (this one):
Companies unexpectedly cut 301,000 jobs in January as omicron slams jobs market, ADP says
Bureau of Labor Statistics, for employment in December 2021:
December jobs report: Payrolls rise by 199,000 as unemployment rate falls to 3.9%
ADP® (Automatic Data Processing), for employment in December 2021:
December private payrolls rose by 807,000, far exceeding expectations: ADP
Bureau of Labor Statistics, for employment in November 2021:
U.S. economy adds just 210,000 jobs in November
ADP® (Automatic Data Processing), for employment in November 2021:
November private payrolls rose by 534,000 topping expectations: ADP
Nonetheless, what is important is not this month's results, but the trend. Lets look at some earlier numbers:
ADP® (Automatic Data Processing), for employment in November 2021:
November private payrolls rose by 534,000 topping expectations: ADP
Bureau of Labor Statistics, for employment in October 2021:
October jobs report: Payrolls grew by 531,000 as unemployment rate fell to 4.6%
ADP® (Automatic Data Processing), for employment in October 2021:
October private payrolls rose by 571,000, topping expectations: ADP
Bureau of Labor Statistics, for employment in September 2021:
Yahoo Finance September jobs report: Economy adds back disappointing 194,000 jobs, unemployment rate
ADP® (Automatic Data Processing), for employment in September 2021
September private payrolls rose by 568,000, topping estimates: ADP
Bureau of Labor Statistics, for employment in August 2021:
August jobs report: Payrolls rise by disappointing 235,000 while unemployment rate falls to 5.2%
ADP® (Automatic Data Processing), for employment in August 2021:
August private payrolls rose by 374,000, missing estimates: ADP
Bureau of Labor Statistics, for employment in July 2021:
July jobs report: Economy adds back 943,000 payrolls, unemployment rate falls to 5.4%
ADP® (Automatic Data Processing), for employment in July 2021:
Private payrolls rose by 330,000 in July, missing estimates: ADP
Bureau of Labor Statistics, for employment in June 2021:
U.S. economy added 850,000 jobs in June as labor market showed renewed strength
ADP® (Automatic Data Processing), for employment in June 2021:
Private payrolls increased by 692,000 in June, beating expectations: ADP
Bureau of Labor Statistics, for employment in May 2021:
U.S. economy adds 559,000 jobs in May, as the recovery shows signs of strength
ADP® (Automatic Data Processing), for employment in May 2021:
Private-sector employment increased by 978,000 from April to May, on a seasonally adjusted basis.
Bureau of Labor Statistics, for employment in April 2021:
Economy picked up 266,000 jobs in April, fewer than expected as economy tries to rebound
ADP® (Automatic Data Processing), for employment in April 2021:
Private-sector employment increased by 742,000 from March to April, on a seasonally adjusted basis.
Bureau of Labor Statistics, for employment in March 2021:
The U.S. economy added 916,000 jobs in March as recovery gains steam again
ADP® (Automatic Data Processing), for employment in March 2021:
Private employers added back 517,000 jobs in March, missing expectations: ADP
Bureau of Labor Statistics, for employment in February 2021:
The economy added 379,000 jobs in February
ADP® (Automatic Data Processing), for employment in February 2021:
ADP National Employment Report: Private Sector Employment Increased by 117,000 Jobs in February
Bureau of Labor Statistics, for employment in January 2021:
Unemployment rate falls to 6.3% in January; payroll employment changes little (+49,000)
ADP® (Automatic Data Processing), for employment in January 2021:
ADP National Employment Report: Private Sector Employment Increased by 174,000 Jobs in January
Bureau of Labor Statistics, for employment in December 2020:
The economy lost 140,000 jobs in December
ADP® (Automatic Data Processing), for employment in December 2020:
Private-sector employment decreased by 123,000 from November to December, seasonally adjusted
mahatmakanejeeves
(57,319 posts)Private payrolls fell by 301,000 in January: ADP
Emily McCormick · Reporter
Wed, February 2, 2022, 8:16 AM · 4 min read
Private payrolls unexpectedly declined in January as the Omicron variant's spread contributed to a marked weakening in the labor market at the beginning of the year. ... U.S. private sector employment fell by 301,000 in January, ADP said in its closely watched monthly report on Wednesday. That represented the first drop in payrolls since December 2020, and came after 776,000 payrolls were added back in December, based on ADP's revised monthly print. Consensus economists had anticipated that about 180,000 private payrolls would return in January, according to Bloomberg data.
Service areas of the economy saw some of the largest declines in payrolls, with industries most vulnerable to virus-related disruptions posting some of the biggest losses. Leisure and hospitality jobs fell by more than 150,000 in January, unwinding some recent gains during the recovery. This was followed by trade, transportation and utilities jobs, which together declined by 62,000 in January. Education and health services payrolls fell by 15,000. ... Private employers in goods-producing industries also shed payrolls on net during the month. Both manufacturing and construction payrolls dropped in January, by 21,000 and 10,000, respectively.
The January payroll report marks the first to capture a comprehensive picture of the impact the Omicron variant has had on the U.S. economy and labor market. The highly contagious variant first discovered in the U.S. in late November had not yet spread widely enough by the survey period for the December monthly report to generate a meaningful impact on the results.
And even the latest jobs data may underestimate exactly how many individuals dropped out of the workforce either temporarily or longer-term due to illness or fears of becoming ill, some economists suggested. ... "The payroll methodology means that many people who miss a few days' work, even in the survey week, don't drop out of the count. Payrolls include people who did any paid work in the pay period covered by the survey week," which takes place mid-month, Ian Shepherdson, chief U.S. economist for Pantheon Macroeconomics, wrote in a note. "So people paid semi-monthly, bi-weekly, or monthly will still appear in the payroll even if they were absent from work for the whole survey week, as long as they did some paid work during the pay period."
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progree
(10,893 posts)mahatmakanejeeves
(57,319 posts)Good morning.
progree
(10,893 posts)Good morning
nitpicker
(7,153 posts)As daily cases and deaths rose in January, and more conferences offered on-line options or went virtual, there was less need for check-in staff. And associated jobs.
I think fewer people are willing to go to restaurants now that the holidays are passed, unless it's an office retirement.
And I've noticed that some stores ((e.g. the local Best Buy)) have shifted from 10-9 to 11-7, so they need only one shift. Even one grocery store has moved from 24-hour operations to 6 am-9 pm.
Dopers_Greed
(2,640 posts)These companies are greedy as hell, and are cutting workers while making the remaining staff do the work of 3x people.
Mad_Machine76
(24,396 posts)Mawspam2
(724 posts)This happens every January after the temporary Christmas hires are let go.
mahatmakanejeeves
(57,319 posts)progree
(10,893 posts)Almost all, if not all of the economic reports posted here are seasonally adjusted. I can't think of an exception except year-over-year stuff.