What is wrong with U.S. economy? Jobs, employment vanishing, domestic companies declining. Details here

Jobs and employment losses are rising sharply in the U.S. Small business firms are cutting jobs at an alarming rate. October marks the fourth consecutive decline in the net hiring.

According to The Kobeissi Letter, over 5,900 job losses by small companies have been recorded.

Job cuts are segregated into a few categories -- Professional, Scientific, and Technical Services, Administrative and Support Services, and Retail Trade. Administrative and Support Services jobs were down 4,480 net. Professional, Scientific, and Technical Services were down at 4,330.


This comes at a time when the number of domestic companies listed in the U.S. fell below the lowest in the five 2025. Since 2022, the figure has dropped by 31 per cent, as per data cited by The Kobeissi Letter.

If the present rate of decline continues, the number will drop to the lowest in the history, as per The Kobeissi Letter.

The Labor Department will release its numbers on September hiring and unemployment next Thursday, a month and a half late, marking the beginning of the end of a data drought caused by the 43-day federal government shutdown.

The statistical blackout meant that the Federal Reserve, businesses, policymakers and investors have largely been in the dark about inflation, job creation, GDP growth and other measures of the U.S. economic health since late summer.

Thomas Simons and Michael Bacolas at Jefferies, a financial firm, wrote in a commentary Friday that over 30 reports from the Labor Department’s Bureau of Labor Statistics and the Commerce Department's Bureau of Economic Analysis and Census Bureau were delayed by the political standoff.

The Labor Department did not release its weekly report on the number of Americans signing up for unemployment benefits for seven straight weeks. That jobless claims report is seen as a potential early indicator of where the labor market is headed.

FAQs

Q1. When will Labor Department data be released?
A1. Labor Department data will be released next Thursday.

Q2. What was the effect of government shutdown on job data?
A2. The statistical blackout meant that the Federal Reserve, businesses, policymakers and investors have largely been in the dark about inflation, job creation, GDP growth and other measures of the U.S. economic health since late summer.