Revised Data Shows US Added 818,000 Fewer Jobs Than Initially Reported

Newly released data from the Bureau of Labor Statistics (BLS) shows that U.S. job growth over the past year was significantly weaker than initially reported. The preliminary review, released on Wednesday, revealed that there were 818,000 fewer jobs in March 2024 than originally estimated. This marks the largest downward revision to employment figures since 2009.

The BLS conducts an annual revision of its monthly employment data, comparing it with more accurate records from the Quarterly Census of Employment and Wages. According to this review, the average monthly job growth from April 2023 to March 2024 was 150,000 jobs, down from the previously reported 218,500. This adjustment suggests that the labor market was not as strong as it initially appeared.

CNN reported that the revisions were particularly significant in the private sector, with the professional and business services industry seeing the largest adjustment. Other industries, including information, leisure and hospitality, and manufacturing, also experienced substantial downward revisions.

The New York Times noted that these adjustments indicate job growth was overstated by about 28 percent during the 12 months ending in March 2024. The revised figures align more closely with other indicators that have shown a slowdown in the labor market in recent months.

Federal Reserve officials are monitoring these developments closely, as they weigh potential changes to interest rates in response to the slowing job growth. The final version of these revised employment figures will be released in February 2025, providing a more accurate assessment of the U.S. labor market's performance over the past year.