Department Of Labor Finally Notices The Jobs Bloodbath In Texas: Midwest “Discharges” Surge To 4 Year High
by The Tyler(s), ZeroHedge
Both in February and in March, in the aftermath of the total collapse in energy-related jobs in Texas, we had a simple, if recurring, question for the Bureau of Labor Statistcs:
The answer was Yes and Yes. However, we are delighted that in the latest monthly JOLTs report, the BLS has finally noticed the bloodbath for highly-paid energy related jobs which as we showed just last week courtesy of Challenger Gray data, is unprecedented, and compares to the devastation in the aftermath of the Lehman collapse, namely this.
So what did JOLTs notice?
It wasn’t that job openings – the category most pay attention to in the JOLTS report – not only missed consensus expectations by over 100K, but tumbled from 5.144MM to 4.994MM, the biggest drop since September of 2014…
… but that involuntary terminations, i.e. layoffs and discharges, surged from 1.688MM to 1.793MM by nearly double the amount of “good” separations, or quits which rose by 63K to 2.783MM.
But the most notable aspect of today’s JOLTs data was that March layoffs in the Midwest region, aka Texas and the various other shale-heavy regions, saw terminations soar to 455K from 340K, the biggest monthly total in layoffs for the region since June 2011, and the largest monthly jump since August of 2013.
Sadly, this also confirms that the BLS is now just 2-3 months behind the curve on what is really going on in the Texas shale space, where as shown above, the pink-slip storm is now the worst since the Great Financial Crisis. Expect to see the Challenger real-time data trickle through to the BLS with the usual one quarter, seasonally-adjusted delay.