Mixed Picture in Securities, Finance Hiring

By Jeff Testerman

Commentary August 12, 2010 at 08:00 PM

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Overall Hiring

Private employers added 71,000 workers in July, while the government cut 202,000 mostly temporary Census workers producing a disappointing report of the nation's labor market.

The average employment gain for private sector in the second quarter was less than one-third of the pace set in the first quarter. Adding to the downbeat tone of the report was a downward revision to May and June, showing 34,000 more jobs were lost than previously reported.

Securities Industry

This business sector managed to squeak out a small gain of 1,400 new workers for July.

This report shows the employment level in this industry to now be at the highest level since July of last year, and it has posted a modest gain of 9,000 jobs for 2010 — recovering about 10 percent of the nearly 90,000 jobs lost in this recession.

Finance and Insurance

This large financial-service sector consisting of banks, insurance companies and securities firms slipped again in July, albeit by only 2,000 jobs.

However, the lack of growth underscores the concern about the overall employment picture and the pace or existence of a recovery. For 2010, this sector is still showing net job loss and has yet to show much sign of substantial or sustained hiring activity.

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