ADP Sees February US Private Sector Jobs -697,000

ADP Sees February US Private Sector Jobs -697,000

By Kathleen Madigan

OF Dow Jones Newswires

NEW YORK (Dow Jones)--Private sector jobs fell 697,000 in the U.S. in February, according to a national employment report published Wednesday by payroll giant Automatic Data Processing Inc. (ADP) and consultancy Macroeconomic Advisers.

That's higher than the 630,000 loss forecast in a Dow Jones Newswires survey, and would be the largest number of jobs lost in one month during this recession. The figure for January was revised to show 614,000 jobs lost, compared with the initial figure of 522,000.

The ADP survey tallies only private-sector jobs while the BLS data include government workers. The Bureau of Labor Statistics reported 598,000 nonfarm jobs were lost in January. A Dow Jones Newswires survey expects a loss of 652,000 for February when the BLS reports the data Friday.

The new ADP report showed large businesses with 500 employees or more shed 121,000 jobs and medium-sized businesses lost 314,000 jobs in February. Small businesses that employ fewer than 50 workers cut 262,000 jobs.

Service sector jobs fell 359,000 last month, while manufacturing employment dropped 219,000.

ADP, of Roseland, N.J., claims to process the payment of one in six U.S. workers, while Macroeconomic Advisers, based in St. Louis, is an economic consulting firm.

Meanwhile, TrimTabs Investment Research said it estimated that the U.S. economy lost 778,000 jobs in February.

"The economy lost 2.1 million jobs in the past three months, equal to a staggering 1.6% of the entire work force," said Charles Biderman, chief executive of TrimTabs. "These job losses are the largest as a percentage of the labor force since February 1975."

-By Kathleen Madigan, Dow Jones Newswires; 201-938-4425; [email protected]

Click here to go to Dow Jones NewsPlus, a web front page of today's most important business and market news, analysis and commentary: You can use this link on the day this article is published and the following day.

(END) Dow Jones Newswires

March 04, 2009 08:39 ET (13:39 GMT)

Copyright 2009 Dow Jones & Company, Inc.