Despite a historic crash in Wednesday’s ADP private-sector jobs report of 301,000, the Bureau of Labor Statistics reports that the US economy added 467,000 jobs in January. Unemployment remained steady at 4.0%, presumably everywhere but at ADP.
Both the unemployment rate, at 4.0 percent, and the number of unemployed persons, at 6.5 million, changed little in January. Over the year, the unemployment rate is down by 2.4 percentage points, and the number of unemployed persons declined by 3.7 million. In February 2020, prior to the coronavirus (COVID-19) pandemic, the unemployment rate was 3.5 percent, and unemployed persons numbered 5.7 million.
The reason for this is the Bureau of Labor Statistics cooked the books. Read this and this.
More people who left the workforce.
Among the unemployed, the number of job leavers increased to 952,000 in January, following a decrease in the prior month. The number of persons on temporary layoff, at 959,000 in January, also increased over the month but is down by 1.8 million over the year. The number of permanent job losers, at 1.6 million, changed little in January but is down by 1.9 million from a year earlier. (See table A-11.)
An economist at the ADP Research Institute said their big miss was a “sign of abnormal times.” ADP’s Nela Richardson said it shows people are ignoring Omicron and going back to work.
ADP was off by 800,000 jobs.
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