New unemployment claims jump to nearly 1 million, the highest level since August

Unemployment rate remains at 6.7%, employers cut 140,000 jobs last month -  ABC News

The number of new unemployment claims filed last week jumped by 181,000 the week before to 965,000, the largest increase since the beginning of the pandemic.

It was the largest number of new unemployment claims since August.

An additional 284,000 claims were filed for the Pandemic Unemployment Assistance, the insurance for gig and self-employed workers.

The weekly report is President Trump’s last before President-elect Joe Biden is sworn in on Jan. 20. Biden will inherit a labor market badly weakened by the coronavirus pandemic and an economic recovery that appears to have stalled: 140,000 people lost their jobs in December, the first decline in months, with the U.S. still down millions of jobs since February.

The dire numbers will serve as a backdrop for Biden as he formally unveils an ambitious stimulus package proposal on Thursday, which could top $1 trillion, and is expected include an expansion of the child tax credit, a $2,000 stimulus payment, and other assistance for the economy.

Democrats were already using the weak labor to argue about the necessity of more aid.

Economists say that the economy’s struggles could be explained, in part, by the delay Congress allowed between the summer, when many fiscal aid programs expired and December, when lawmakers finally agreed on a new package after months of stalemate.

The number of new jobless claims has come down since the earliest days of the pandemic, but remains at a extremely high level week in and week out.

The total number of continuing people in any of the unemployment programs at the end of the year was 18.4 million, although officials have cautioned that the number is inflated by accounting issues and duplicate claims.

The increase in claims is not entirely unexpected. As the aid package passed by Congress in December kicks in, including a $300 a week unemployment supplement, some economists expected that to result in more workers filing claims.

Economy loses 140K jobs in December, first losses since April

https://thehill.com/policy/finance/533242-december-jobs-report

57% of Unemployed Americans Blame COVID-19 for Job Loss - New Jersey  Business Magazine

The economy lost 140,000 jobs in December, the first reported losses since April, as the unemployment rate remained steady at 6.7 percent.

Economists expected a small jobs gain of nearly 50,000. The drop is the latest sign of a weakening economy amid the ongoing COVID-19 crisis. All in all, the economy remains about 10 million jobs below its pre-pandemic levels.

“There’s not much comfort to be taken from the stable unemployment rate, given that millions of Americans have left the labor force with nearly 11 million listed as officially out of work,” said Mark Hamrick, senior economic analyst at Bankrate.com.

“Between the human and economic tolls taken by the pandemic, these are some of the darkest hours of this soon-to-be yearlong tragedy.”

The biggest losses were concentrated in leisure and hospitality, a sector particularly vulnerable to the effects of the pandemic, which lost an astonishing 498,000 jobs.

State and local government payrolls shed 51,000 jobs. Congress deferred passing state and local aid in its latest COVID-19 relief bill.

But the overall loss would have been worse had it not been for gains in professional and business services, which added 161,000 jobs; retail trade, which added 120,500 jobs; and construction, which added 51,000.

Some demographic groups have been hit harder by the economic downturn.

The unemployment rate for Hispanics rose to 9.3 percent in December, while Black unemployment remained elevated at 9.9 percent. The rate for whites was 6 percent, and for Asians it was 5.9 percent.

Over a third of jobless people have been unemployed for over 27 weeks.

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Unemployment claims rose sharply last week as economic crisis grinds on

U.S. Unemployment Claims Rise Amid Coronavirus Surge - WSJ

Applications for jobless benefits resumed their upward march last week as the worsening pandemic continued to take a toll on the economy.

More than 947,000 workers filed new claims for state unemployment benefits last week, the Labor Department said Thursday. That was up nearly 229,000 from the week before, reversing a one-week dip that many economists attributed to the Thanksgiving holiday. Applications have now risen three times in the last four weeks, and are up nearly a quarter-million since the first week of November.

On a seasonally adjusted basis, the week’s figure was 853,000, an increase of 137,000.

Nearly 428,000 applied for Pandemic Unemployment Assistance, a federal program that covers freelancers, self-employed workers and others who don’t qualify for regular state benefits.

Unemployment filings have fallen greatly since last spring, when as many as six million people a week applied for state benefits. But progress had stalled even before the recent increases, and with Covid-19 cases soaring and states reimposing restrictions on consumers and businesses, economists fear that layoffs could surge again.

“It’s very clear the third wave of the pandemic is causing businesses to have to lay people off and consumers to cut back spending,” said Daniel Zhao, senior economist for the career site Glassdoor. “It seems like we’re in for a rough winter economically.”

Jobless claims rose in nearly every state last week. In California, where the state has imposed strict new limits on many businesses, applications jumped by 47,000, more than reversing the state’s Thanksgiving-week decline.

The monthly jobs report released on Friday showed that hiring slowed sharply in early November and that some of the sectors most exposed to the pandemic, like restaurants and retailers, cut jobs for the first time since the spring. More up-to-date data from private sources suggests that the slowdown has continued or deepened since the November survey was conducted.

Every month, we’re just seeing the pace of the recovery get slower and slower,” said AnnElizabeth Konkel, an economist with the job site Indeed. Now, she said, the question is, “Are we actually going to see it slide backward?”

Many economists say the recovery will continue to slow if the government does not provide more aid to households and businesses. After months of gridlock in Washington, prospects for a new round of federal help have grown in recent days, with congressional leaders from both parties signaling their openness to a compromise and the White House proposing its own $916 billion spending plan on Tuesday. But the two sides remain far apart on key issues.

The stakes are particularly high for jobless workers depending on federal programs that have expanded and extended unemployment benefits during the pandemic. Those programs expire later this month, potentially leaving millions of families with no income during what epidemiologists warn could be some of the pandemic’s worst months.

Hospital workforce tracker: layoffs, furloughs and pay cuts

https://www.healthcaredive.com/news/hospital-workforce-tracker-layoffs-furloughs-and-pay-cuts/576890/

Hospital workforce tracker: layoffs, furloughs and pay cuts | News Break

Many hospitals are temporarily or permanently reducing the size of their workforce as they grapple with depleted revenues and the thorny question of when they can return to normal operating capacity. Here’s a tracker to follow the latest updates.

Hospitals across the country, financially battered as they face the dual challenges of sick COVID-19 patients and a precipitous decline in patient volume, are struggling to balance quickly shifting staffing needs. While some face and others brace for intense demand, many have announced furloughs of specialists and others that work in elective surgeries that have been drastically scaled back.

Thousands of healthcare workers at hospitals big and small have been asked not to return to work, and it’s still unclear how soon non-essential services will return. While some governors announce plans to reopen businesses, others have extended stay-at-home orders.

Most recent data from the U.S Bureau of Labor doesn’t cover the second half of March or early April, but during the first half of March, the healthcare industry shed 43,000 jobs — reversing a decade of growth in the sector. According to BLS data, the industry added 49,000 jobs in March 2019.

“Even our emergency room has seen a significant drop in patients coming in,” Sue Philips, an ICU nurse at Palomar Pomerado Health in Northern San Diego, told Healthcare Dive.

Phillips is a spokesperson with National Nurses United, the country’s largest nurses union. Palomar Health, which runs three medical centers in northern San Diego County, recently instituted 21-day temporary layoffs of 221 employees.

On April 28, Palomar announced that most of those layoffs were becoming permanent. The system laid off 5% of its workforce, eliminating 317 positions. Fifty of those employees were clinical RNs, mostly in part-time positions, and the rest spread across the organization ranging from clerical staff to technicians.

Due to a 50% decrease in patient volumes, Palomar lost $10 million in revenue in March alone, according to a statement. In April the system said it stands to lose $20 million or more.

“I’m an ICU nurse, so my job is pretty much protected,” Phillips said. “But you didn’t think you were expendable until you became expendable, and that’s a hard pill for nurses and caregivers to swallow.”

Congress has attempted to financially support struggling hospitals through ongoing coronavirus relief legislation, approving some $175 billion thus far. But without knowing what will come next, hospitals are attempting to remain nimble while reining in one of their most costly expenses — paying employees.

The following information is based on publicly reported data, along with interviews with hospital representatives and union members.

It’s not an exhaustive list, but features nonprofit and for-profit hospital systems that reported revenue above $10 billion in 2019. It also takes a look at smaller, more regionally based systems that have announced similar cutbacks.

Click on link above to use the dropdown to find a company.

As healthcare job growth slows, some look to restructure long-term operations

Healthcare job losses reached staggering levels amid stay-at-home orders and the widespread cancellation of elective procedures when the COVID-19 pandemic first hit this spring. Dentists and ambulatory services were particularly hard hit.

While the industry has since recovered many of the 1.3 million jobs lost this April, it’s still 527,000 short from February levels, and monthly gains have slowed since, according to the latest data from the Bureau of Labor Statistics.

At the same time, some of the major hospitals that issued furloughs or layoffs early in the pandemic are now further reducing the size of their workforce.

The stagnation will likely continue, as companies “don’t hire as many people, then lay some people off to also try and save money, because worse times may be ahead,” said Erica Groshen, former BLS commissioner and senior labor economics adviser at Cornell’s School of Industrial and Labor Relations.

One example is Dallas-based Baylor Scott & White, which laid off 3% of its workforce, or 1,200 employees in May. It’s now laying off a third of its corporate finance staff, though some impacted employees are being offered positions with a third-party vendor, the system said in a Monday statement.

Providence Health & Services laid off 183 employees in mostly administrative roles as a result of transitioning work to a third-party vendor, while five employees were laid off “as a result of business need,” according to a WARN notice letter the system sent to an Oregon state agency Nov. 16. It previously issued an unknown number of furloughs across its 51-hospital system.

And Utah-based Intermountain Health said it would cut 250 business-related jobs by offering 750 employees voluntary separation packages on Oct. 13.

The moves come even while hospitals are stretched to the brink from the highest surge of coronavirus cases the country has yet seen. In the past few weeks, many have halted elective procedures and paid steep rates for temporary nursing staff, further straining finances.

And other healthcare establishments, such as some doctor’s offices and medical labs, are still struggling to get reluctant patients back in.

A recent Labor Department survey covering the onset of the pandemic through September found among all healthcare businesses, 64% experienced a decrease in demand while only 13% experienced an increase in demand.

In November, healthcare businesses overall added 46,000 jobs in — fewer than the 58,000 jobs added in October; 53,000 in September; and 75,000 in August, according to BLS data.

Hospitals added about 4,000 jobs in November and are about 100,000 jobs short from February.

15 hospitals laying off workers

Virus prompts more layoffs at universities in Oregon

The financial challenges caused by the COVID-19 pandemic have forced hundreds of hospitals across the nation to furlough, lay off or reduce pay for workers, and others have had to scale back services or close. 

Lower patient volumes, canceled elective procedures and higher expenses tied to the pandemic have created a cash crunch for hospitals. U.S. hospitals are estimated to lose more than $323 billion this year, according to a report from the American Hospital Association. 

Hospitals are taking a number of steps to offset financial damage. Executives, clinicians and other staff are taking pay cuts, capital projects are being put on hold, and some employees are losing their jobs. More than 260 hospitals and health systems furloughed workers this year and dozens of others have implemented layoffs. 

Below are 15 hospitals and health systems that announced layoffs since Sept. 1, many of which were attributed to financial strain caused by the pandemic. 

1. Minneapolis-based Children’s Minnesota is laying off 150 employees, or about 3 percent of its workforce. Children’s Minnesota cited several reasons for the layoffs, including the financial hit from the COVID-19 pandemic. Affected employees will end their employment either Dec. 31 or March 31.

2. Dallas-based Baylor Scott & White Health announced in early December that it will lay off 102 employees in finance and accounting roles. The duties of the affected workers will be outsourced to a third-party vendor in India.

3. Eastern Niagara Hospital in Lockport, N.Y., announced in early November that it plans to end intensive care unit services and move surgical services from the hospital to a surgery center. The changes will result in the loss of 80 jobs. 

4. Detroit Medical Center confirmed in November that it laid off employees but declined to disclose the number of employees affected. Clinical staff, administrative assistants and employees at the management level were affected by the layoffs, sources told Crain’s Detroit Business

5. Mercy Iowa City (Iowa) laid off 29 employees in November to address financial strain tied to the COVID-19 pandemic. 

6. NorthBay Healthcare, a nonprofit health system based in Fairfield, Calif., announced Nov. 2 that it is laying off 31 of its 2,863 employees as part of its pandemic recovery plan.

7. Brattleboro Retreat, a psychiatric and addiction treatment hospital in Vermont, notified 85 employees in late October that they would be laid off within 60 days. 

8. Oakland, Calif.-based Kaiser Permanente notified the state of Hawaii in November that it planned to lay off 45 employees within 60 days. “The COVID-19 public health crisis has placed unprecedented demands on the entire health care system, including Kaiser Permanente,” a Kaiser spokesperson said in an email to Pacific Business News. “Even before the pandemic, we had been transparent in sharing that Kaiser Permanente Hawaii faced ongoing financial challenges and that we were on a path to address our internal structure in a way that ensured we would be able to continue to deliver high-quality, affordable care and coverage to our members in Hawaii for years to come.” The health system said most of the positions eliminated were administrative or in non-patient facing areas.

9. Citing a need to offset financial losses, Minneapolis-based M Health Fairview said in October  it plans to downsize its hospital and clinic operations. As a result of the changes, 900 employees, about 3 percent of its 34,000-person workforce, will be laid off.

10. Lake Charles (La.) Memorial Health System laid off 205 workers, or about 8 percent of its workforce, in October as a result of damage sustained from Hurricane Laura. The health system laid off employees at Moss Memorial Health Clinic and the Archer Institute, two facilities in Lake Charles that sustained damage from the hurricane.

11. Burlington, Mass.-based Wellforce laid off 232 employees in September as a result of operating losses linked to the COVID-19 pandemic. The health system, comprising Tufts Medical Center, Lowell General Hospital and MelroseWakefield Healthcare, experienced a drastic drop in patient volume earlier this year due to the suspension of outpatient visits and elective surgeries. 

12. Baptist Health Floyd in New Albany, Ind., part of Louisville, Ky.-based Baptist Health, eliminated 36 positions in late September. The hospital said the cuts, which primarily affected administrative and nonclinical roles, are due to restructuring that is “necessary to meet financial challenges compounded by COVID-19.”

13. Cincinnati-based UC Health laid off about 100 employees in September. The job cuts affected both clinical and non-clinical staff. A spokesperson for the health system said no physicians were laid off. 

14. Springfield, Ill.-based Memorial Health System laid off 143 employees in September, or about 1.5 percent of the five-hospital system’s workforce. The health system cited financial pressures tied to the pandemic as the reason for the layoffs. 

15. Watertown, N.Y.-based Samaritan Health announced Sept. 8 that it laid off 51 employees and will make other cost-cutting moves to offset financial stress tied to the COVID-19 pandemic.

Hospital workforce tracker: layoffs, furloughs and pay cuts

China Employee Mass Layoff Laws

Many hospitals are temporarily or permanently reducing the size of their workforce as they grapple with depleted revenues and the thorny question of when they can return to normal operating capacity. Here’s a tracker to follow the latest updates.

Hospitals across the country, financially battered as they face the dual challenges of sick COVID-19 patients and a precipitous decline in patient volume, are struggling to balance quickly shifting staffing needs. While some face and others brace for intense demand, many have announced furloughs of specialists and others that work in elective surgeries that have been drastically scaled back.

Thousands of healthcare workers at hospitals big and small have been asked not to return to work, and it’s still unclear how soon non-essential services will return. While some governors announce plans to reopen businesses, others have extended stay-at-home orders.

Most recent data from the U.S Bureau of Labor doesn’t cover the second half of March or early April, but during the first half of March, the healthcare industry shed 43,000 jobs — reversing a decade of growth in the sector. According to BLS data, the industry added 49,000 jobs in March 2019.

“Even our emergency room has seen a significant drop in patients coming in,” Sue Philips, an ICU nurse at Palomar Pomerado Health in Northern San Diego, told Healthcare Dive.

Phillips is a spokesperson with National Nurses United, the country’s largest nurses union. Palomar Health, which runs three medical centers in northern San Diego County, recently instituted 21-day temporary layoffs of 221 employees.

On April 28, Palomar announced that most of those layoffs were becoming permanent. The system laid off 5% of its workforce, eliminating 317 positions. Fifty of those employees were clinical RNs, mostly in part-time positions, and the rest spread across the organization ranging from clerical staff to technicians.

Due to a 50% decrease in patient volumes, Palomar lost $10 million in revenue in March alone, according to a statement. In April the system said it stands to lose $20 million or more.

“I’m an ICU nurse, so my job is pretty much protected,” Phillips said. “But you didn’t think you were expendable until you became expendable, and that’s a hard pill for nurses and caregivers to swallow.”

Congress has attempted to financially support struggling hospitals through ongoing coronavirus relief legislation, approving some $175 billion thus far. But without knowing what will come next, hospitals are attempting to remain nimble while reining in one of their most costly expenses — paying employees.

The following information is based on publicly reported data, along with interviews with hospital representatives and union members.

It’s not an exhaustive list, but features nonprofit and for-profit hospital systems that reported revenue above $10 billion in 2019. It also takes a look at smaller, more regionally based systems that have announced similar cutbacks.

Use the dropdown to find a company (Click on link above to access layoff tracker)

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November jobs report: US economy adds 245,000 jobs, unemployment rate falls to 6.7%

https://finance.yahoo.com/news/november-2020-jobs-report-labor-market-coronavirus-pandemic-unemployment-183714326.html

The 245,000 new jobs added last month is smallest since U.S. recovery began  in May - MarketWatch

The U.S. economy added back the smallest number of jobs in seven months in November, as the labor market endured mounting pressure from the coronavirus pandemic while businesses wait for a vaccine to be distributed next year.

The U.S. Department of Labor released its monthly jobs report Friday morning at 8:30 a.m. ET. Here were the main results from the report, compared to Bloomberg consensus data as of Friday morning:

  • Change in non-farm payrolls: +245,000 vs. +460,000 expected and a revised +610,000 in October
  • Unemployment rate: 6.7% vs. 6.7% expected and 6.9% in October
  • Average Hourly Earnings month-over-month: 0.3% vs. +0.1% expected and +0.1% in October
  • Average Hourly Earnings year-over-year: 4.4% vs. +4.2% expected and a revised +4.4% in October

During November, a plethora of new stay-in-place measures and curfews swept the nation as COVID-19 cases, hospitalizations and deaths swelled to record levels. These renewed restrictions weighed on the rate of the recovery in the labor market, which had already been slowing after a record surge in rehiring followed the initial wave of lockdowns in the spring.

To that end, job gains in November sharply missed expectations. Non-farm payrolls grew by just 245,000 during the month for the smallest number since April’s record, virus-induced decline. October’s payroll gain was downwardly revised to 610,000 from the 638,000 reported earlier, while September’s gain was raised to 711,000 from 672,000.

A third straight month of declining government employment served as a drag on the headline payrolls figure, as another 93,000 temporary workers hired for the 2020 Census were let go.

In the private sector, retail trade industries shed nearly 35,000 jobs following a gain of 95,000 in October. Leisure and hospitality employers added just 31,000 jobs during November, declining by nearly 90% from October. And in goods-producing industries, manufacturing jobs rose by only 27,000 for the month, falling short of the 40,000 expected.

But a handful of other industries added more jobs in November from October: Transportation and warehousing jobs grew by 145,000 to more than double October’s advance, and growth in wholesale trade positions also doubled to 10,400.

November’s unemployment rate also improved just marginally to 6.7% from the 6.9% reported in October. While down from a pandemic-era high of 14.7% in April, the jobless rate remains nearly double that from before the pandemic.

Other employment reports this week underscored the decelerating trend. Private-sector hiring fell to the lowest level in four months in November, according to data tracked by ADP. New weekly jobless claims began rising again around the 12th of the month, when the Labor Department conducts its surveys for its monthly jobs report. And in the Federal Reserve’s November Beige Book, the central bank noted that nearly all districts reported rising employment, “but for most, the pace was slow, at best, and the recovery remained incomplete.”

The U.S. economy still has a ways to go before fully making up for the drop in payrolls induced by the pandemic. Even with a seventh straight month of net job gains, the economy remains about 9.8 million jobs short of its pre-pandemic level in February. The U.S. economy lost more than 22 million jobs between March and April.

And worryingly, the number of the long-term unemployed has kept climbing. Those classified as “permanent job losers” totaled 3.7 million in November, eclipsing the number of individuals on temporary layoff for the second time since the start of the pandemic. Permanent job losers have increased by 2.5 million since February, before the pandemic meaningfully hit the U.S. economy.

In Washington, congressional lawmakers have for months been at a stalemate over the size and scope of another stimulus package, which could help provide funds for businesses to help keep workers employed, and offer extended unemployment benefits for those the pandemic has kept out of work. Federal unemployment programs authorized under the CARES Act in the spring are poised to expire at the end of the month. These include the Pandemic Emergency Unemployment Compensation and Pandemic Unemployment Assistance programs, which together provide benefits for more than 13 million Americans.

“The only thing that matters about today’s NFP [non-farm payrolls] report is whether it increases the likelihood of a stimulus deal getting done during the lame duck session,” Peter Tchir, head of macro strategy for Academy Securities, said in an email Friday morning. “While the unemployment rate shrunk and wages ticked up nicely, the headline number dropped significantly, was well below average expectations, and included some downward revisions to last month (and upward revisions to 2 months ago)all of which point to a less robust job market.”