Posted originally on the conservative tree house September 1, 2021 | Sundance | 151 Comments
The Bureau of Labor Statistics report on August jobs is anticipated Friday. However, the numbers from the private sector ADP payroll review [Data Here] were released today, and the results are far below what was predicted.
According to the ADP payroll review, businesses hired a total of 374,000 workers, compared to the expectation of 600,000+ from the financial media. The vast majority of jobs gained was in the ‘Service and Hospitality’ sector that added 201,000 jobs.
The total services sector added 329,000 jobs, while the goods-producing sector only gained 45,000 jobs. This result is reflective of an overall drop in consumer spending which has continually been identified in sales data from the past several months.
Consumers are being hit with massive inflation on food, fuel, energy and housing costs. As a result, they have pulled back from spending on durable goods, luxury products and other items now considered ‘non-essential.’
The service and hospitality sector shows job growth from new hires and returning workers as people start to travel, dine in restaurants and engage in other vacation activity. Simultaneously, those same consumers are spending less on retail purchases. This pattern has been very consistent throughout the summer.
(MSM) – […] Recent statements out of the central bank indicate that it likely will slow the pace of its monthly purchases of bonds so long as job growth continues at pace. Officials have been largely optimistic about the employment picture, though they note that about 6 million fewer workers are holding jobs now than before the pandemic. (more)