Economists have warned that the coronavirus pandemic could cause massive unemployment, with the potential for the biggest job loss in the U.S. since the Great Depression. According to a report from Automatic Data Processing, a total of around 20.2 million jobs were shed from the U.S. private sector in April.

The data from ADP broke down job losses by business size. Small businesses, defined as businesses with 49 workers or fewer, cut 6 million jobs. Mid-sized employers, those with 50-499 workers, lost 5.3 million, while large businesses, those with 500 or more workers, cut the most at 8.9 million. It is predicted that the total number will eventually surpass the 23 million new jobs created in the U.S. since the end of the financial crisis in 2009.

“Job losses of this scale are unprecedented,” Ahu Yildirmaz, co-head of ADP, said about the report. “The total number of job losses for the month of April alone was more than double the total jobs lost during the Great Recession.”

This report is expected to be echoed in the U.S. government’s next job report, set to be released Friday. Experts predict that the country’s unemployment rate will skyrocket to historic levels, with MarketWatch forecasting 15%.

California Gov. Gavin Newsom has also spoken on the matter, expecting the official numbers for his state to be “jaw-dropping.”

Over 30 million Americans have applied for unemployment benefits in the last six weeks, with 3 million coming in the last week alone. This historic surge of activity has caused the unemployment systems in many states to buckle under the pressure, with millions reportedly unable to gain access online or over the phone.

Unemployment is projected to rise and with it, poverty
Unemployment is projected to rise and with it, poverty AFP / PIETER BAUERMEISTER
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