Industries with Massive Spring Employment Drops
The following BLS-categorized industries (which had preliminary data for May 2020) suffered a combined seasonally adjusted employment drop of over 40% between March and May, even when any May rebound was included. The industries that have been hardest hit by the COVID-19 crisis, as measured by the percentage of employees lost in April and May, are:
1) Amusements, Gambling, and Recreation
2) Clothing and Clothing Accessories Stores
3) Motion Picture and Sound Recording Industries
Just as statistical aside, at the beginning of June, employment in this industry was the lowest it has been since the BLS started tracking it in 1990.
4) Scenic and Sightseeing Transportation
5) Accommodation
6) Performing Arts and Spectator Sports
Conclusion
With the SARS-CoV-2 virus continuing to spread with only limited containment, and with U.S. politicians potentially unprepared to deal with either a second peak in COVID-19 deaths or with a continued economic downturn, it’s anyone’s guess what will happen in the U.S. job market between now and the start of flu season. The industries that appear to be “reopening” though are the same industries that are likely to shut down during the next peak, and it’s unclear if a large number of U.S. business will be able to survive the summer, let alone additional COVID-19-related economic shocks in the Fall and Winter.
I plan on continuing to report on these numbers in the coming months as the BLS revises and expands its May 2020 numbers. Stay tuned and stay safe.