ADP shows 693,000 jobs lost in December
By Rex Nutting, MarketWatch
Last update: 8:41 a.m. EST Jan. 7, 2009WASHINGTON
(MarketWatch) -- U.S. private-sector firms shed 693,000 jobs in December, far worse than expected, according to the ADP employment index released Wednesday.
Employment in the services sector fell by 473,000, while employment in the goods-producing sectors fell by 220,000.
Large firms cut 91,000 jobs, medium-sized firms cut 321,000 jobs and small firms cut 281,000 jobs.
"Sharply falling employment at medium- and small-size businesses clearly indicates that the recession has now spread well beyond manufacturing and housing-related activities," said economists for Macroeconomics Advisers in a press release. Read the report.
The index is computed by Macroeconomic Advisers using anonymous payroll data collected by ADP. ADP (ADPAutomatic Data Processing, Inc
Sponsored by:
ADP) provides payroll and human-resources services to about one in every six U.S. workers, at more than 500 companies.
The methodology for the ADP index has been revised with the aim of making it a better fit with the government figures to be released on Friday. Economists currently expect nonfarm payrolls to have fallen by 500,000 in December. See Economic Calendar.
The ADP index covers only private-sector payrolls. Assuming government payrolls expand by 20,000 jobs or so, the ADP index implies an estimated 715,000 decrease in total nonfarm payroll employment in December.
The ADP sample is taken during the same week of the month as the government survey, using similar methods marketwatch.com |
