Reports Show Much Improved Jobs Picture For October

ADP Job report OctoberThe nation's struggling jobs picture continue to improve in October, despite ongoing concern about the anemic economic recovery, two reports showed Wednesday.

Private employers in the U.S. added 110,000 jobs last month, according to the ADP National Employment Report, more than the 101,000 analysts expected, Reuters reported. Further, the ADP report showed job creation was better in September than first reported. ADP said private employers added 116,000 new jobs in September, up from a previously reported 91,000.

"It is not a huge amount better, but the fact that it was better than expected and there was a revision in the last month's number is a pretty encouraging sign," Peter Jankovskis of Oakbrook Investments in Lisle, Ill., told the wire service.

A second report showed planned layoffs in October fell to their lowest levels since June. After reaching a 28-month high in September, the number of planned job cuts announced by U.S.-based employers fell 63 percent in October to 42,759, according to employment-services firm Challenger, Gray & Christmas.

In September, employers announced 115,730 job cuts, the highest total since 132,590 in April 2009, Challenger noted.

The Challenger report also showed that managers announced plans last month to boost their staffs by 160,000, helped in part by seasonal hiring ahead of the upcoming holiday season.

The biggest declines in planned job cuts were in the financial and government sectors, the report said. After announcing 54,182 cuts to personnel levels in September, the government announced just 2,785 job cuts in October, a drop of 95 percent.

The financial sector, meanwhile, reported planned cuts of 497 jobs last month, a 98 percent decline from the more than 31,000 announced in September.

Despite the dramatic declines, Challenger CEO John Challenger said neither sector is "out of the woods" yet and the potential for more mass layoffs remains.

Most cuts in government jobs have been at the state level, Challenger said in a statement. "We have yet to see the full impact of mandated federal spending cuts," he said, noting that the U.S. Postal Service alone is expected to cut 200,000 jobs.

The Challenger report also revealed other areas of continued weakness in the labor market.

Though lower than in September, planned layoffs last month were up nearly 13 percent compared to a year ago, and employers so far this year have announced more than 520,000 job cuts. That compares with about 450,000 during the same 10-month period last year.

Still, Challenger noted, job cuts so far this year remain "well below" levels two years ago. By this point in 2009, the reports said, planned layoffs totaled nearly 1.2 million.

Both reports were released in advance of the Labor Department's monthly employment report, due out Friday. Analysts expect the government report will show the U.S. economy added 103,000 jobs last month, according to consensus estimates compiled by Bloomberg.

Analysts also expect the nation's unemployment rate to remain at 9.1 percent -- marking the fourth consecutive month in which joblessness remained at that level.

Next: Infrastructure: Do We Need A New New Deal?

Don't Miss: Companies Hiring Now

Stories from FINS Finance

Add a Comment

*0 / 3000 Character Maximum


Filter by:

So McDonalds must be hiring.

November 03 2011 at 8:21 PM Report abuse rate up rate down Reply

Probably $7.35 to $12.00 jobs mainly part time with no benefits. Yeah I am going to go out and buy a new car and house because of this "Great" news.......

November 02 2011 at 8:22 PM Report abuse +3 rate up rate down Reply

Does anybody really believe the unemployment rate is only 9.6 % ?

November 02 2011 at 4:55 PM Report abuse +3 rate up rate down Reply
1 reply to Lee's comment

Well, the unemployment rate has always been based on a survey, and as a result was never intended to be perfect or exact.

At the same time, the survey methodology is extraordinarily sophisticated in its design to be representative.

So yes, I beleive the 9.1% is accurate in that sense. If you knew anything about it, you would too.

November 02 2011 at 10:18 PM Report abuse -2 rate up rate down Reply

Much improved???? Sounds like a liberal statement to me.

Holiday hiring always goes up this time of the year.

Real economic growth with new full time jobs will not happen until the investors and business owners of this country stop getting slammed for being capitalists.

Oh I forgot, the liberals want to destroy all capitalism and take money from those that have it to invest (contrary to popular belief, most Republicans don't fall in that category) and we will then create real growth.

No wonder we are in such a mess. The left does not want any growth unless they get credit and their idea of growth is more public spending? Give us a break. What an irrational way of thinking. It is amazing.

November 02 2011 at 3:36 PM Report abuse +2 rate up rate down Reply
1 reply to rickahight's comment

I thought you mugs believe that the government doesn't create jobs. So then how do you expect the government to create them?

November 02 2011 at 3:40 PM Report abuse -2 rate up rate down Reply
1 reply to chris1011's comment

You seem to imply the existence of an imbecile so dumb so as to not KNOW that government doesn't create jobs (but government DOES destroy jobs)?

November 02 2011 at 4:14 PM Report abuse +2 rate up rate down

Any hiring would be better than what we have.
But--do you personally know anyone who has been hired ? No. Didn't think so
Washington keeps on telling us things are better but buddy, it ain't....

November 02 2011 at 3:01 PM Report abuse +4 rate up rate down Reply
1 reply to marine1942's comment

The military -- jobs created by the government. The postal service -- jobs created by the government. Several hundred billions sent to senior citizens who hire health care workers and nursing home workers -- jobs created by the government. NASA, highways, public schools, airports.... When the government spends money, jobs are the result. You may not like the way the money is spent. But let's put an end to the idea that government spending doesn't result in jobs. Of course it does and to argue otherwise is imbecilic. If you want to argue "government" is making too many decisions on how the economy is directed, fine.

November 03 2011 at 8:07 AM Report abuse -3 rate up rate down Reply
1 reply to pgile's comment

When the government spends money it comes from the private sector via taxation or borrowing. This produces less private sector spending and investment. This was illustrated in the recent exhaustive non=partisan study by Ohio State University that discovered that $850 billion of additional government "stimulus" spending created 450,000 new jobs, while the $850 billion reduction in private sector spending and investment simultaneously destroyed 1,000,000 jobs, producing a net reduction of 550,000 American jobs.

As you unwittingly illustrate, the question is who spends your money more wisely, productively, and efficently? Is it you, or a Foggy Bottom goon? For some, no explanation is neccessary, while for others, none is possible.

November 03 2011 at 9:51 AM Report abuse rate up rate down

Do the math. 110,000 jobs added in the private sector, 5 companies laying/terminating a total of 200,000 jobs. Not to mention all of the part-time Christmas help that will be unemployed after the holiday season. How are things getting better?

November 02 2011 at 2:58 PM Report abuse +4 rate up rate down Reply
1 reply to Terry's comment

Surely you understand that the 110,000 figure is NET not GROSS -- 110,000 MORE jobs when you take into account hiring and firing?

November 03 2011 at 8:09 AM Report abuse rate up rate down Reply

Of course it looks much improved "THEY ARE HIRING HOLIDAY WORKERS"!! They'll ALL be laid off Jan. 2!! Why do they say this bs every year around this time??!!

November 02 2011 at 2:52 PM Report abuse +6 rate up rate down Reply
1 reply to metusmetu's comment

"They" do this because they assume consumers of this data are smart enough to realize it is seasonally adjusted.

November 02 2011 at 3:01 PM Report abuse -2 rate up rate down Reply
Your Momma

You cannot add jobs and remain at the same percentage. Whoever is doing the math....FAIL! 1+1 does not equal 1.

November 02 2011 at 2:51 PM Report abuse +3 rate up rate down Reply
1 reply to Your Momma's comment

Yes, you can.

The unemployment rate is a percentage, meaning it includes both a numerator (unemployed workers) AND a denominator (the size of the workforce).

Here's a simplified example. let's say in month one the workforce consisted of 10 workers, 1 of whom was unemployed. The unemployment rate is 1/10 or 10%. Now let's say in the next month the worforce doubled to 20 workers (a substantial percentage increase in "new "jobs"), but 2 of these 20 were unemployed. The new calculation is 2/20, or 10%. New job growth was substantial from month one to month two, but the unemployment rate remained unchaged.

November 02 2011 at 3:05 PM Report abuse -1 rate up rate down Reply

wow a big 108,000 jobs what does that come to 2000 jobs per state give me a break

November 02 2011 at 1:29 PM Report abuse +5 rate up rate down Reply

The GOP had better start putting up some more road blocks or the Obama administration's jobs accomplishments will start to look too good. They've got to keep people unemployed so they can be "employed" next November.

November 02 2011 at 1:09 PM Report abuse -1 rate up rate down Reply
2 replies to Sensible's comment

The GOP doesn't have to do much....Obama's doing fine on his own. 110,000 new jobs...WOO HOO!! It takes 150,000 per month just to stay even.

November 02 2011 at 1:27 PM Report abuse +5 rate up rate down Reply

Too bad they didn't put up a roadblock to passage of the $850 billion "stimulus", which according to a recent non-partisan study conducted by Ohio State University economists, destroyed 500,000 American jobs.

November 02 2011 at 1:53 PM Report abuse +2 rate up rate down Reply

Search Articles

Picks From the Web