Non-farm private employment decreased 522,000 in January -- roughly in-line with expectations -- ADP announced Wednesday in the ADP National Employment Report. Meanwhile, the December change in employment was revised to a decrease of 659,000 jobs from the previously-announced decrease of 693,000 jobs, ADP said.
Manufacturing employment fell 243,000 in January -- its 28th consecutive monthly decline. The service sector of the economy lost 279,000 jobs during the month.
Economist Richard Felson said the January ADP private sector report "shows no change in the job trend, which is large job losses throughout the U.S. economy."
"We're well beyond the stage of job cuts stemming from reduced demand following the end of the housing bubble. Job cuts are now occurring simply because companies' clients are decreasing orders . . . the dreaded negative spiral that occurs in a pronounced recession," Felson said. "We'll need a large amount of fiscal stimulus to generate demand and get the economy out of this negative cycle."
Economic Analysis: As expected, another poor jobs report, but investors should keep in mind the ADP surveys private sector conditions only. The more-telling statistic is the U.S. Labor Department's monthly payroll statistic, and the January data that will be released Friday, February 6 at 8:30 a.m. EST. That report is expected to show a 524,000-job decline, according to a Bloomberg News survey of economists.











Reader Comments (Page 1 of 2)
2-04-2009 @ 9:34AM
Frankie D. said...
The fiscal stimulus I would prefer, to stop the recessionary downward spiral, would be a reduction in taxes including but not limited to the self emploment tax and excessively high commercial property tax. Keep your tax rebates or fiscal stimuli. How about we start today with the government leaving me with more money to operate, expand, and provide better service to my customers?
2-04-2009 @ 9:34AM
nickerson said...
Where is the black savior???? He's now got about 7 million on his watch out of work, I think he has to raise the TARP and his other phoney package to about 5 trillion, oh by the way I think China has had enough of his tough talk, he better become the MONICA for the Chinese or he will be singing like a bird soon. Someone has to tell the thug we are not a third world country yet, but he is taking us that way fast, need a few more tax cheats in his cabinet.
2-04-2009 @ 9:48AM
Sheila said...
Nice to know that so many out of work economists post on these blogs.
2-04-2009 @ 10:40AM
A said...
THE NEW WORLD ORDER IS THE "HEGELIAN THEORY" UNDER (DIALECTIC MATERIALISM) AND THE TRUE FORMAT OF ("GERMAN IDEALISM" )HEGELS METHODS WERE USED BY ADOLPH HITLER,KARL MARX,FREDERICH ENGLES AND MANY OTHER EVIL INDIVIDUALS FOR THE INSTALLATION OF THE NEW WORLD (SOCIALISM)ORDER.THEY ARE CREATING A NEW SYNTHESIS USING HEGELIAN THEORY WHERE THE STATE IS THE ABSOLUTE RULE AND THE INDIVIDUAL CAN ONLY FIND FREEDOM THROUGH BLIND OBEDIENCE TO THE STATE.IT DOES NOT MATTER WHAT POLITICAL PARTY YOU BELONG AS BOTH PARTIES ARE IN LINE WITH THIS AGENDA.spread the word as this controls america and the world today.
IMF.ORG/WORLDBANK.ORG/UN.ORG/ET.AL.NON-GOVERNMENTAL ORGANIZATIONS ARE RUNNING THE NEW WORLD AND OLD WORLD.
2-04-2009 @ 10:47AM
CURTISBIGJ7 said...
when is the government going to start taking huge pay cut's?? why is the government leting 2 to three mill. people in the us leagely , as well as doing noithing about the etemated 13mill. illeagle's driveing the us wage to nothing! we are just about a third world country!! here in so. florida it is a third world country. one can not hardly get a job if you no speakee spanish. they have got to go!!!!!!!!!!!!!!
2-04-2009 @ 10:54AM
Rick Koppel said...
If you have a government job,like half the population has, you have no need to worry. If you are alarmed by the lay-offs, get a government job as soon as possible. If they run out of money, they simply print more!!!
2-04-2009 @ 10:54AM
dajt57 said...
hahahaha. people are blaming obama for these numbers? like he had anything to do with this. deregulation did this folks and you know it.
2-04-2009 @ 11:00AM
MyKisa said...
$13 trillion in offshore accounts will return as investment with Fair Tax.., now that would make for a job or two.
2-04-2009 @ 11:20AM
nanodrv7 said...
keep the people scrathing.
2-04-2009 @ 11:25AM
chcgthornton said...
Hey, those illegal bailouts and Barney Frank stimulus PACKAGES are really working. LOL.
2-04-2009 @ 11:33AM
ray said...
28th month in a row of job losses in the mfg. sector!!! jeebus.
2-04-2009 @ 11:52AM
bypie6 said...
Oh? So, Obama is now to be blamed for 7 million people out of work? Gezz, I wonder how Obama pulled this off --- 7 million people losing their jobs --- since Obama was inaugurated this past January 2009.
You damn phoney ignorant racist can't even hide behind your illogical math.
Will some of you please send your jackass fumbler-of-fumblers, George Bush a memo on this matter so he can continue playing his fiddle while the country he left in financial ruin is continuing downward.
2-04-2009 @ 12:00PM
bobbyshangups said...
It's coming everyone. Another 500,000 jobs out of the private sector, and the government keeps on growing. Hold on to your guns and your wallets.
2-04-2009 @ 12:05PM
nickerson said...
Can you believe it, we got Crammer now thinking China will lead us to the promise land. What is this guy smoking. They might lead us to a depression Crammer if they call in their current IOU'S. Crammer thinks we all fell off the turnip truck. China will pull Obamas dork if he keeps talking to these union thugs about putting a fence around the US. Look how the UAW has screwed up the auto industry.
2-04-2009 @ 12:15PM
Patriot said...
Just watch the Dems give jobs to the illegal aliens with your tax money .They are all trying to remove E-VERIFY from the stimulus package. This way they can have contractors do the infrastructure work hire illegals!!
2-04-2009 @ 4:01PM
Patriot said...
Just watch the Dems give jobs to the illegal aliens with your tax money .They are all trying to remove E-VERIFY from the stimulus package. This way they can have contractors do the infrastructure work hire illegals!!
2-04-2009 @ 12:45PM
indyuts said...
I have proof that Nickerson is Ann Coulter!
2-04-2009 @ 1:47PM
Realist said...
Nickerson, Are you insane??? How in the world
can you come close to blaming President Obama
for this mess that our country is now in? The idiot
who just left the office put our country in this turmoil. It seems as though he knew that a republican was not going to take his place so he did everything possible to make more damage to
the country before he left. He is now saying to himself, "Mr Obama, let me see you fix this castrophe that I left behind" and other idiots like him and yourself say," Obama look what you did, look at our country, why are you making things right?" Well, it will take well over the 4 years that he has to straighten this mess out!!! Just because you are a racist and did not want Obama in office in the first place, don't try to put this
shameful recession on him. He has been left with a big burden on his lap. We all should try to ignore his nationality and pray that he can do something to try and begin to clean up this awful
mess that BUSH left behind!!!!
2-04-2009 @ 3:13PM
bob said...
This won't change until the giveaway theory in d.c. changes. Stupid people make stupid choices, let em live with it.
2-04-2009 @ 3:59PM
cmitch said...
As I have been reading some of these comments I can't believe there are so many RACIST on aol, most of the comments are blaming Obama for the mess that Bush and the right wing asshole have left us but they are to Racist and ignorant to understand this with thier small tiny minds.