Companies unexpectedly cut 301,000 jobs in January as omicron slams jobs market, ADP says [View all]

[mahatmakanejeeves]

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

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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 Moody’s Analytics. The report, which is derived from ADP’s actual data of those who are on a company’s 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