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Analysis

Healthcare Sees 358K 'Payroll Additions' in June

By John Commins  
   July 02, 2020

The healthcare sector, once thought a recession-proof job making machine, has reported nearly 87,000 job losses in the first six months of 2020.

Healthcare jobs continued to rebound in June, with the sector reporting 358,000 "payroll additions" as the nation staggers back from the economic collapse brought on by the coronavirus pandemic, the Bureau of Labor Statistics reported on Thursday.

The bulk of the jobs in June were in ambulatory services, which had been all but shuttered for three months this spring because of the pandemic. Gains in dentist, physician, and other healthcare provider offices accounted for 318,000 payroll additions.

Hospitals stemmed two months of job hemorrhages, with 6,700 new jobs in June, after losing 160,000 jobs in April and May.

Nursing homes reported 18,000 job losses in June.

June marks the second consecutive month of job growth for the healthcare sector, which suffered epic job losses in April owing to the coronavirus pandemic. In May, the sector saw 312,000 payroll additions, mostly in outpatient care venues.  

The June job report largely reflects the state of the economy in mid-month, before the coronavirus surge in many parts of the nation prompted some state and local governments and some businesses to scale back their re-openings.

The June job numbers are considered preliminary and could be subject to considerable revision.

The healthcare sector, once thought a recession-proof job making machine, has reported nearly 87,000 job losses in the first six months of 2020. In that same span in 2019, the sector created 138,000 new jobs.

In the overall economy, BLS reported that payroll employment grew by 4.8 million in June, and the unemployment rate fell to 11.1%.

More than 2 million of the jobs gained in the larger economy were in the leisure and entertainment sector, which is now threatened with renewed disruption from the pandemic.

John Commins is a content specialist and online news editor for HealthLeaders, a Simplify Compliance brand.


KEY TAKEAWAYS

Gains in dentist, physician, and other healthcare provider offices accounted for 318,000 payroll additions.

Hospitals saw 6,700 new jobs in June, after losing 160,000 jobs in April and May.

Nursing homes reported 18,000 job losses in June.


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