May 05, 2011
From June to September 2010, the number of gross job gains from opening and expanding private sector establishments decreased to 6.6 million; gross job losses from closing and contracting private sector establishments increased to 6.4 million. Firms in all class sizes experienced a decrease in gross job gains and an increase in gross job losses in the third quarter of 2010.
The financial activities, utilities, construction, retail trade, information, and other services sectors posted net decreases in employment during third quarter 2010. The manufacturing sector has recorded two consecutive quarters of net employment increases after 15 consecutive quarters of net decreases from third quarter 2006 to first quarter 2010.
The change in the number of jobs over time is the net result of increases and decreases in employment that occur at all businesses in the economy. Business Employment Dynamics statistics track these changes in employment at private business units from the third month of one quarter to the third month of the next. Gross job gains are the sum of increases in employment from expansions at existing units and the addition of new jobs at opening units. Gross job losses are the result of contractions in employment at existing units and the loss of jobs at closing units. The difference between the number of gross job gains and gross job losses is the net change in employment.