ADP reports 301K private-sector job losses to start 2022

Private sector employment decreased by 301,000 jobs from December to January, according to Roseland-based payroll and human resources firm ADP.

In its monthly ADP National Employment Report, ADP said January’s job market recovery took a step back at the start of 2022 due to the effect of the Omicron variant.

“The majority of industry sectors experienced job loss, marking the most recent decline since December 2020. Leisure and hospitality saw the largest setback after substantial gains in fourth quarter 2021, while small businesses were hit hardest by losses, erasing most of the job gains made in December 2021,” said Nela Richardson, chief economist, ADP.

The largest businesses, with more than 500 workers, lost 98,000 employees. Medium-sized businesses, with 50-499 workers, lost 59,000 jobs, while small businesses, with less than 50 workers, lost 144,000 positions.

The service-providing sector saw 274,000 fewer jobs for the month, with the goods-producing sector losing 27,000 spots, ADP said.

Among individual industries, leisure and hospitality experienced the most lob losses, with 154,000; trade/transportation/utilities lost 62,000 positions; professional and business services took away 3,000. Meanwhile, in the goods-producing sector, manufacturing saw the most losses with 24,000, and construction experienced 10,000 fewer positions.