Employment falls by 140,000 jobs in December amid COVID-19 surge

Nonfarm payroll employment declined by 140,000 jobs in December, according to the Bureau of Labor Statistics, amid a surging pandemic and reinstated lockdowns in many parts of the country. The unemployment rate was unchanged at 6.7 percent.

Although jobs fell in December, totals in the previous two months were revised upward, indicating more job creation than previously reported. The change in total nonfarm payroll employment for October was revised upward by 44,000 to 654,000, and the change for November was revised upward by 91,000 to 336,000.

“The renewed surge in COVID-19 caused a setback in the economic recovery,” commented Calvin Schnure, senior economist at Nareit.

By category, the biggest declines were in leisure and hospitality, which fell by 498,000 jobs as efforts were taken to contain the coronavirus. That includes drops in food services and drinking places (down 372,000 jobs); the amusements, gambling and recreation industry (down 92,000); and t