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Temp payrolls fall by 37,600 in June

July 02, 2009

The June decline in temporary help payrolls, of 37,600 jobs, was higher than that of May but still well below the level of loss earlier in the year, according to numbers released today by the U.S. Bureau of Labor Statistics.

The temporary share of total employment loss has been moderating; in the first half of 2008, temporary jobs accounted for about a quarter of all jobs lost, but that share has been declining and in the last three months averaged just 7%. Nonetheless, temporary help penetration fell in June to 1.32%, and the month's temporary payrolls were off 27.2% versus the year earlier.

Total nonfarm job losses in June also ticked up from the previous month, but remain well below the peak levels of this recession. Big sector losers included manufacturing, down 136,000 jobs; construction, off 79,000; professional services (apart from temporary staffing), off 80,000; government, off 52,000; and retail and wholesale trade, together off 37,000. Of the 52,000 government jobs lost, 46,000 were cuts in census workers.

Losses for the month moderated versus 12-month trend in six of 13 major employment categories, most notably in retail trade, where June's losses of 21,000 jobs were well below 12-month trend of 50,000 monthly losses; in transportation and utilities, where June losses of 14,000 compared with 12-month trend of 25,000; in leisure and hospitality, where June losses of 18,000 compared with 12-month trend of 27,000 jobs; and in personal and laundry services, where 9,000 jobs were gained, compared with 12-month trend loss of 4,000.