Payrolls plunge by stunning 533,000 in November

[UpInArms]

Source: CBS Marketwatch

WASHINGTON (MarketWatch) - U.S. nonfarm payrolls contracted by an astonishing 533,000 in November, the worst job loss in 34 years, the Labor Department reported Friday. It's only the fourth time in the past 58 years that payrolls have fallen by more than 500,000 in a month. The unemployment rate rose from 6.5% in October to 6.7% in November, the highest jobless rate since October 1993. Job losses were widespread across industries in November. Economists expected job losses of around 350,000 in November. They expected the unemployment rate to rise to 6.8%. Job losses in September and October were revised sharply lower by a total of 199,000.

Read more: http://www.marketwatch.com/news/story/Payrolls-plunge-s...

---

worst.president.ever.

[BeyondGeography]

1. Ouch

They were floating 350K this morning on the gab shows.

Look out below, DJIA.

[Pale Blue Dot]

2. Thank God it passed!

By this time the stimulus bill HAD passed, and although it didn't start to be implemented until the latter stages of the month, one would expect that employers would factor in the easier availability of credit - if that was the real problem.

It wasn't.

[depakid]

16. That's ridiculous

Under the economic circumstances- one wouldn't have expected that at all. On the contrary, unemployment figures are expected to keep rising into 2009.

[Hydra]

21. Exactly

Credit isn't the issue- people aren't buying things. It was amazing the stupid stuff that got floated here back when Bush wanted a $700 Billion bonus.

[Zynx]

24. There are plenty of legitimate complaints about the bill.

This is not one of them. There is no chance it would have already had such an impact. Find me any economic policy of any sort that has ever kicked in that quickly.

[fasttense]

3. Thank you Republicons for destroying America.

We couldn't have done it without you.
Sincerely,
The Terrorists

[Hydra]

22. The republicans are writing notes to themselves again? n/t

[liberalmuse]

4. I'd like to thank Bush...

and all the morons who voted for him. Twice. With your incredible ignorance, you have helped drag this country into hell.

[jayfish]

10. Don't Forget Oil, Gas And Other Energy Companies.

Years of engorging the themselves has taken a heavy toll on us all.

Jay

[Hydra]

23. Bush didn't win either of the elections

The people you refer to (and they set my teeth on edge too) were smug about someone they failed to elect.

[boomerbust]

5. Moron on CNBC

Just called for more corporate tax cuts to get the economy back on track. And he also mentioned Trickle Down Ronnie. LMFAOOO!

[Roland99]

7. And former Treasury Sec Snow up next. They won't interview O'Neill. No way

They only want to hear soothing, bullish news.

They should give Nouriel Rubini his own show on there. HA! Like that'll happen.

[DemoTex]

9. Paul O'Neill dropped the dime on them yesterday.

Any Bearer of the Truth is persona non grata by Bu$hco and the lapdog media.

[Roland99]

14. Was he on there yesterday?

Dang...I missed it.

[DemoTex]

15. Sorry .. no. I meant the generic "them" in his Pittsburgh Post-Gazette interview.

The "We're headed for the wall at lightning speed" interview.

http://www.post-gazette.com/pg/08339/932577-28.stm

[Roland99]

19. ah, thanks.

[AngryOldDem]

6. Economist on CNBC just now recommended a return to supply-side policies....

...to get us out of this mess.

IOW, Reaganomics.

Fortunately, common sense prevailed with the rest of the panel, and he was effectively muzzled.

[Doctor_J]

8. It's Bill Clinton's Fault!

At least that's what Smirk told Charlie

[RedEarth]

11. 533,000 doesn't tell the entire story...

From Ian Morris of HSBC on this morning’s employment report:

Payrolls fell by 533,000, worse than market expectations of -335,000, with net downward revisions of -199,000 for the previous two months. The unemployment rate was lower than expected at 6.7% (consensus 6.8%), but that was because the labor force shrank by 422,000 (which the household survey measure of employment collapsed 673,000). If the labor force participation rate had remained unchanged, unemployment would have risen to 7.0%. An augmented measure of labor under-utilization, the pool of available labor, rose by 649,000 after rising 502,000 last month, driving up this measure of an “augmented unemployment rate” up from 9.4% to 9.8% (it was 8.4% back in June). Therefore, on all counts, the reports from both the payroll and household surveys paint one consistent picture - a true shocker.

The payroll weakness was especially pronounced in the service sector, which fell 370,000. Retail jobs fell 91,000 as the usual holiday seasonal hiring was muted, business services -136,000 (including temp help at -78,000), and financial jobs “only” falling 32,000. Meanwhile, construction lost another 82,000 and manufacturing a hefty 85,000. The only good news was in education/health, which saw jobs rise 52,000, nearly doubling last month’s rise.

Confirming the widespread scale and scope of the jobs downshift is the payroll diffusion index, which fell to 27.6 from 37.8 (works like the ISM with a break-eve of 50), the lowest reading since the series began in January 1991.

Aggregate hours worked fell 0.9% in Nov, suggesting Q4 will be down an annualized 6-7%, consistent with a deep decline in GDP of about 5%. Manufacturing aggregate hours worked fell 1.4% in Nov, consistent with a 14-15% annualized decline in Q3, consistent with industrial collapse.

Hourly earnings went against the grain of a generally disastrous report, rising 0.4% month-on-month (consensus 0.2%), taking the yearly rate up to 3.7% from 3.6% last month and 3.4% in September. However, this may be distorted by an “average” effect, where if marginal workers are being laid off first, the remaining workers have a higher average wage. But given the scale of this downturn across industries, we doubt that effect will last and we should see hourly earnings decelerate markedly in the next few quarters.

http://acrossthecurve.com/?p=2243

[TechBear_Seattle]

12. How the bloody hell is this even possible? n/t

[blueclown]

13. Does this signal the end of the era of Reagan/Friedmanomics? n/t

[paparush]

17. Fear not, the White House is "very concerned"

[opihimoimoi]

18. This is what happens when we use Fantasy to select our President insteat of Sanity

Bush has been a Mega Mother of all Disasters

His policies and decisions have led to our current problems...

There is no escape...he had the Helm for 8 years...he cannot pass the buck of blame to others....

Bush and the GOP have wrecked America....LOOK at the DIFFERENCE of 8 years and HIS RESULTS of LOSERSHIP...Its embarrassing...

[Doctor_J]

20. But Stupid & Pickles are buying a mansion in Dallas. that should help

God I am pissed that he's not going to prison.

[Zorra]

25. Yet another Bu*h/republican milestone. n/t

[sarcasmo]

26. When do the bread lines begin?

[Veritas_et_Aequitas]

27. 533,000 Jobs Lost in November 2008

Source: US Department of Labor

Nonfarm payroll employment fell sharply (-533,000) in November, and
the unemployment rate rose from 6.5 to 6.7 percent, the Bureau of Labor
Statistics of the U.S. Department of Labor reported today. November's
drop in payroll employment followed declines of 403,000 in September and
320,000 in October, as revised. Job losses were large and widespread
across the major industry sectors in November.

...

Among the unemployed, the number of persons who lost their job and did not
expect to be recalled to work increased by 298,000 to 4.7 million in November.
Over the past 12 months, the size of this group has increased by 2.0 million.
(See table A-8.)

The number of long-term unemployed (those jobless for 27 weeks or more) was
little changed at 2.2 million in November, but was up by 822,000 over the past
12 months.

Read more: http://www.bls.gov/news.release/empsit.nr0.htm

---

I'm beginning to understand why these things used to be called "panics" instead of "recessions" or "depressions".

[calimary]

28. More than HALF A MILLION jobs. HALF A MILLION. LOST! Dear God!

Half a MILLION jobs - GONE. If there's ANY justice, I pray that number will soon include george, dick, and MANY of their henchmen/women, apologists, excuse-makers, spinners, fellow cheats and scam-artists and fast-talkers, and cover-up weasels. I wish THEM unemployment, too. PERMANENTLY.

And of course that's the LEAST of what I wish them. Conviction and imprisonment after a war crimes tribunal would be more appropriate. But I'll take justice wherever I can find it.

[no_hypocrisy]

29. And I'm one of them.

Misery loves company.

[sandnsea]

30. Depression comes after the panic

And this one's going to be a doozy.

[sarcasmo]

31. Already in one here in Michigan, IMHO of course.

[sandnsea]

32. Most certainly, I should have said

Panic is what happens when one realizes one is IN a Depression. They're just now telling us we've been in recession for the last year, so if the last year was a recession - obviously we're in a depression now. And Ohio and Michigan and some other states have been in one for a while.

[OhioChick]

33. Ohio, as well. n/t

[sarcasmo]

34. When does the all out panic begin? When college kids can't afford the electricity for their xbox?