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Friday, September 6, 2019

Healthcare hiring dampened in August by weak ambulatory growth

Hiring in the healthcare industry slipped 21% in August over the prior month, with noteworthy declines in the ambulatory sector.
Healthcare added 23,900 jobs last month, compared with its 30,400 new hires in July, according to the U.S. Bureau of Labor Statistics’ latest jobs report, released Friday. The healthcare sector has added 392,000 jobs over the past 12 months.
Overall employment rose by 130,000 jobs in August, and the unemployment rate was unchanged at 3.7%. Healthcare hiring trailed that of the federal government in August, which made 28,000 new hires last month. Some of the increase was driven by temporary federal government hiring ahead of the 2020 Census.
Within healthcare, ambulatory services made 12,100 new hires in August, down from almost 29,000 in July, a month in which it comprised almost all new healthcare hiring. In August, by contrast, new hires in the ambulatory services sector comprised 51% of healthcare job growth.
Within the ambulatory sector, physicians’ offices added 1,900 last month, down 37% from July. Dentists’ offices added 1,600 jobs, down 58% from July. Home health hiring was down 37% in August compared with the prior month, having added 6,800 jobs.
Offices of other healthcare practitioners saw a particularly noteworthy drop in August, having shed 1,200 jobs, compared with a 7,300 gain in July.
Nursing and residential care facilities added 3,000 jobs in August, down 17% from July.
If there was one winner coming out of August’s healthcare hiring, it was hospitals. They added 8,800 jobs last month, compared with a dismal July, in which they shed 2,100 jobs. Hospital hiring is particularly volatile month-to-month. In June, hospitals made 11,200 new hires.
Professional and business services sector added 37,000 jobs last month, with large gains in computer systems design and related services and in management of companies and enterprises.
Financial activities employment grew by 15,000 jobs in August, with nearly half of that in insurance carriers and related activities.

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