The U.S. labor market has been less resilient than was initially believed.
On Wednesday, the Labor Department said that the economy had added 818,000 fewer jobs than it had previously reported for the 12 months that ended in March.
The number means employers had overstated job growth by about 28 percent per month, especially in industries like hospitality and professional services.
This adjusted number is an initial estimate of an annual revision, in which monthly employment figures from the Labor Department are reconciled with more accurate state unemployment reports.
“We’ve known that things on net were probably moving gradually in the wrong direction,” said Guy Berger, director of economic research at Burning Glass Institute, a labor market research and data firm.
Persons:
“, ”, Guy Berger
Organizations:
Labor Department, Glass