U.S. Job Market Faces Challenges with Decline in Nonfarm Employment

January presented difficulties for the U.S. job market, as nonfarm employment decreased by 13,300, marking the second decline in four months, according to Revelio. The Kobeissi Letter posted on X. Revelio, which compiles data from company career pages like LinkedIn and Indeed, as well as staffing agencies, reported that the decline was primarily driven by losses in Public Administration and Leisure and Hospitality, which shed 16,400 and 14,400 jobs, respectively. Additionally, Retail Trade and Professional and Business Services saw reductions of 12,800 and 10,600 positions. However, these losses were partially offset by gains in Education and Health Services, which added 41,000 jobs. Excluding this sector, nonfarm employment experienced a more significant drop of 54,300. The delayed jobs report is anticipated to reflect these weak outcomes.