Thursday, June 25, 2009

The Lost Decade... Part II

Earlier this week we took a look at the Lost Decade for the S&P 500. Business Week provides another lost decade... jobs (EconomPic detailed this trend at a higher level earlier this month):

Between May 1999 and May 2009, employment in the private sector sector only rose by 1.1%, by far the lowest 10-year increase in the post-depression period.

It’s impossible to overstate how bad this is. Basically speaking, the private sector job machine has almost completely stalled over the past ten years.
The chart below shows the number of jobs added / subtracted by sector.

Health care, education, and government sectors added a total of ~7mm jobs over the past 10 years. Everything else? A drop of almost $4mm.

Source: Business Week