The month of September saw a loss of 7,000 jobs for small businesses marking the first time this year that such a drop has occurred. According to the ADP Small Business Report, this is a huge turn versus August and July gains of 48,000 and 50,000 jobs respectively. While many point to the recent Hurricane disasters as a major cause for the latest numbers, a closer inspection could be pointing to a shift in the job market overall.
For example, while companies with 19 or fewer employees saw a loss of 11,000 jobs in September, businesses with between 20 and 49 employees actually saw an increase of 4,000 employees. In addition, while service based corporations dropped by 19,000, “businesses that are goods producers, like manufacturers, added 15,000 jobs over the last month.”
Despite the drop, ADP reports that 135,000 jobs were added to the economy with man more expected. Time will tell if the month of September is a blip or a sustainable trend, but for now, this can be viewed as a slight shift that may lead to something in the near future. What that something is remains to be seen.