U.S. 2019 Q2 gross job gains was 7.6 million while gross job losses was 6.1 million

January 29, 2020

Gross job gains from opening and expanding private-sector, from March 2019 to June 2019 , amounted to an increase of 230,000 jobs from the previous quarter to 7.6 million according to the Bureau of Labour Statistics (BLS). It was also noted that gross job losses from closing and contracting private-sector establishments booked 7.4 million, indicating a rise of 573,000 jobs from the previous period.

Gross Job Losses

In relation to gross job losses, which refers to contractions in employment at existing establishments and the loss of jobs at closing establishments, the private-sector accounted for 5.9%. Consequently, there are 6.1 million jobs lost through contracting establishments in the second quarter of 2019. This was an increase of 429,000 jobs from the prior quarter. Whereas, closing establishments lost 1.3 million jobs, an increase of 144,000 jobs from the prior quarter.

Gross Job Gains

The private sector reported 6.0% of gross job gains in the second quarter of 2019. Gross job gains refer to the increases in employment due to expansions of existing establishments along with new jobs at opening establishments. Expanding establishments rose by 191,000 jobs to 6.2 million in the second quarter of 2019. Of the jobs gained in the second quarter, opening establishments experienced an increase of 39,000 jobs to total 1.4 million jobs relative to the previous quarter.

Establishment Births and Deaths

The number of establishment births totalled 257,000 establishments in the second quarter of 2019. These new establishments covered 848,000 jobs, which rose by 34,000 jobs the previous quarter.


Notably, job gains exceeded gross job losses in 8 of 13 industries in the second quarter of 2019. In the second quarter of 2019, the service-providing industries observed a net job increase of 161,000 jobs. Within this industry, professional and business services experienced the largest over-the-quarter net job increase, with a gain of 108,000 jobs. BLS noted, “The retail trade and leisure and hospitality sectors showed declines in the second quarter of 2019, with 101,000 and 55,000 net jobs losses respectively.”

In addition, goods-producing industries had a net job increase of 21,000 jobs where manufacturing lost 10,000 jobs, construction added 15,000 jobs, and natural resources and mining gained 16,000 jobs in the second quarter.

Firm Size

Firms with 1-49 employees experienced a net employment gain of 55,000 while firms with 50-249 employees had a net employment gain of 93,000. Notably, firms with 250 or more employees had a net employment gain of 39,000.

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