MNI DATA IMPACT: US Dec Job Loss Not a One-Off -Conference Bd

The U.S. labor market recovery stalled in December and could see further deterioration through the next few months, the Conference Board said Monday.

The Conference Board's Employment Trends Index, aggregating eight metrics of national employment, fell 0.4 point to 99.01 from 99.05, the first decline since May. The index is down 9.2% from one year ago.

The decline was mainly driven by an increase in the percentage of workers who say they find jobs "hard to get," the percentage of firms with positions they are "not able to fill," and stubbornly high levels of initial unemployment claims.

"The latest Employment Trends Index numbers signal that the labor market recovery has paused, and in the coming months employment will likely remain stagnant or even dip," Gad Levanon, head of The Conference Board Labor Markets Institute said in a statement. "As the number of COVID-19 cases continues to rise and downside risks grow, it appears unlikely that the labor market will resume its recovery over the next few months."

The largest job losses will come from in-person services like restaurants, hotels, transportation and personal and childcare services, Levanon said, offsetting gains in most other industries.