US private sector lost 2.7M jobs in May

"Unemployment office" by Bytemarks, CC BY 2.0

NATIONWIDE (FOX News): Private employers slashed 2.7 million jobs in May as the coronavirus-induced lockdown devastated the U.S. economy and labor market, according to the ADP National Employment Report released Wednesday.

Economists surveyed by Refinitiv expected 9 million job losses in the private sector.

Since the virus gained a foothold in the U.S. in mid-March, forcing a majority of states to shutter nonessential businesses and direct residents to stay at home, 40 million Americans have filed for first-time jobless benefits.

The data is typically a good indicator of what to expect in the more closely watched jobs report from the Labor Department on Friday, which is predicted to show the U.S. economy lost 8 million jobs last month. Analysts anticipate unemployment will skyrocket to 19.7 percent from April’s 14.7 percent, the highest since the Great Depression.

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