3 charts show how December's surprisingly bad jobs report was especially devastating for the most vulnerable workers
- The US lost 140,000 nonfarm payroll jobs in December, according to the Bureau of Labor Statistics.
- The loss comes as a surprise, as some economists anticipated more jobs would be added.
Leisureand hospitality workerswere particularly hard hit, as were workers who couldn't work from home.
The United States lost 140,000 jobs in December.
The Bureau of Labor Statistics reported the surprising dip in nonfarm payroll jobs on Friday. As Insider's Ben Winck reported, economists had actually anticipated that 50,000 jobs would be added.It's the first decline in a jobs report since April, showing how the recovery has slowed down. On the other hand,
These three charts highlight the slow recovery for lower-wage industries
Jed Kolko, the chief economist at Indeed, shared on Twitter a chart showing just how much the pandemic continues to affect different types of jobs, based on how likely it is that those jobs can be worked from home. The following chart from Indeed shared with Insider shows these varying job losses:Employment for jobs that can't be done from home, such as in
Nick Bunker, an economist at Indeed, shared on Twitter a graphic highlighting job changes last month and since February based on typical industry wages. The following chart from Indeed shared with Insider shows the percent change in jobs over the last month:Lower-wage jobs were the only type that saw a loss instead of a gain last month, showing this group of jobs is still struggling to recover. Lower-wage jobs saw about a 0.9% loss in jobs last month, and Bunker notes on Twitter that overall these jobs "remain the hardest hit since the pandemic started." Similarly, Insider has been tracking what the recovery since the start of the pandemic has looked like in various subsectors.
(Using data from the Bureau of Labor Statistics, the chart above highlights the percent change in employment from February to December across different industries along its vertical axis. We also included median hourly wage data from the BLS as of May 2019 along the horizontal axis.)
Higher-wage industries are around, or even above, their February level of employment, while many lower-paying industries are still below pre-pandemic levels. For instance, "securities, commodity contracts, and other financial investments and related activities" industry, with a high median hourly wage of $39.85, is just 0.8% below its February employment.Couriers and messengers are among the few lower-wage industries that have experienced job gains amid the pandemic, adding 37,400 jobs last month. This is because more workers are needed to deliver goods as people continue to shop from home, similar to last month's report. Employment in couriers and messengers is now 26.2% higher than in February.
Last month, two industries in the leisure and
Restaurants and leisure were hit especially hard
Leisure and hospitality workers were particularly hard hit, losing 498,000 jobs.
And those jobs - which have historically been centered on in-person dining and travel - face an ever-worsening pandemic.
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