Hiring Has Dramatically Slowed, Michigan Professor Says

With the government shutdown stretching into its second month — now the longest in U.S. history — investors and government officials have been left in the dark.

Surveys revealed a labor market that remains resilient but is showing signs of fatigue as layoffs rise and confidence wanes.

There has been no jobs report, no JOLTS data, and no clear picture of how hiring, wages, or labor force participation are holding up, Allie Canal reported for Yahoo Finance.

Private and survey data helped fill part of that gap this week, revealing a labor market that remains resilient but is showing signs of fatigue as layoffs rise and confidence wanes.

“Hiring has dramatically slowed,” said Betsey Stevenson, a professor at the University of Michigan and former member of the Council of Economic Advisers (CEA) under former President Barack Obama.

“So if you have a job, great — but if you lose it, you’re in more trouble than you would have been a year or two ago,” she told Yahoo Finance.

Her warning aligns closely with the latest private-sector data. According to payroll processor ADP, private employers added 42,000 jobs in October, the first monthly gain since July — though still far below the pace seen earlier this year.

Hiring was strongest in trades, transportation, and utilities, while the professional services and information sectors — key drivers of white-collar growth — both lost jobs.