By Tom Burnett CFA
On January 8, 2021, the Bureau of Labor Statistics reported the employment data for the prior month. After job growth accelerated from the April low, total employment decreased in December by 140,000. In the prior month, revised figures showed an increase of 336,000. The unemployment rate remained unchanged at 6.7% as did the total of unemployed workers at 10.7 million. For comparison with pre-COVID-19 time periods, the rate in February was 3.5% and the number of unemployed workers was 5.7 million. The number of jobs lost since the February high is now 9.8 million.
The latest report revised some earlier data for the unemployment rates in 2020. The lowest rate of 3.5% occurred in February and the highest-14.8%-was recorded in April. In terms of total employment, the peak of 158.7 million was achieved in February, before declining to 133.4 million in April. The latest report indicates a total employment number of 149.8 million, reflecting a recovery of more than half the jobs that were lost due to the Covid-induced recession.
The next employment report will be issued on February 5, 2021.
Tom Burnett CFA is Director of Research