Regardless of the headline number, underlying data from the report painted a bleaker picture: while the monthly nonfarm payrolls from the Establishment Survey indicated modest growth at 216K, the Household Survey showed a sharp decrease of 683K in the number of employed workers – the largest drop since the onset of COVID-19. This decline in employment, coupled with the stark divergence between the two surveys, underscores deeper labor market issues.
Moreover, the breakdown of job types revealed a shocking decline in full-time positions by 1.531 million in December, counterbalanced by a surge in part-time workers. The U.S. has seen a shift towards part-time employment since February 2023, with no net addition of full-time jobs, further complicating the employment landscape.
Multiple jobholders also surged by 222K, reaching a record high. This suggests that more workers are taking on multiple jobs to cope with economic conditions.