Non-Farm Payroll Headlines Are A Complete Fraud

“A lie told often enough becomes truth” – Vladimir Lenin.

The Government-programmed mass financial media gleefully reported this morning that the “jobs recovery” continues as the Government is telling us that 295,000 jobs were produced in February and the employment rate dropped to 5.5%.   Unfortunately, those headline statistics are complete Orwellian propaganda.  In fact, as I will demonstrate using the same payroll report used to derive the headline numbers, the employment situation in this country continues to get worse by the month.

The table below comes from the Bureaus of Labor Statistics actual employment report (BLS – Household Data Table A-1) – please click to enlarge:

NFP2

I’ve highlighted the most important data.   According to the Government’s own statistics, the working age population (“civilian noninstitutional population) grew by 176k in February BUT the number of people in the labor force declined 178k.   The labor force participation rate once again declined to 62.8% – a level of employment as a percent of the working age population not seen since the late 1970’s.   This is the definition of an employment depression.

According to the Government’s own numbers per the household survey above, the number of people employed increased by 95,000.  BUT the number of people “not in the labor force” increased 354,000. 

Those are the relevant numbers that need to be examined and debated.  Not the statistically manipulated garbage that the Government feeds into the media headlines. The employment situation grows worse by the day in this country.  Tens of thousands of oil industry workers have already been fired this year.   Hewlett Packard just announced 54,000 job cuts.  IBM is cutting over 100,000.  Both of those totals are for the global operations but a significant number will occur in this country.

As just one example of the Government lies embedded in the headline statistics, the BLS is reporting that construction added 29k jobs.  Yet, we found out yesterday that construction spending plunged 1.1% in January (Wall St. was expecting a .3% gain).  Retailers supposedly added 32k jobs in February.  Yet, we know that several retailers filed chapter 11 in January/February.  This list goes on.

If you have not watched it yet, this is a must-see short video by John Titus of Bailout Films which explains in detail how the monthly Government payroll report is a complete farce:  The Fed Is Blowtorching The Economy With QE.

The bottom line is that the Government’s non-farm payroll report has zero credibility.  Moreover, it grows more absurdly fraudulent by the month.

14 thoughts on “Non-Farm Payroll Headlines Are A Complete Fraud

  1. Using numbers from the table you provide for the NOT seasonally adjusted, and for the year-over-year changes from Feb 2014 to Feb 2015, we see that:
    participation rate decreased by -0.2% (62.7 -> 62.5)
    Not in labor force increased by 1.628 million (92.058 -> 93.686)
    unemployment rate decreased by -1.2% (7.0 -> 5.8)

    1. Very insightful–and telling.

      Your Feb.-to-Feb. comparison obviates the need for seasonally adjusted figures. Case closed.

  2. Of course it’s manipulated. But it works! 😉
    I just wonder what the FED will do. Do they have any excuse left not to hike rates now? Really hard to imagine how this will play out.

  3. This message just needs to be repeated over and over again Dave. Even then most of the population will not give it their total attention, of which it deserves. The governments ‘Department of Propaganda’ along with a completely compliant and corrupt media, will ensure that the majority of the American people, remain willfully ignorant of the true facts. Like attacking a mountain with a hammer. It can be done, one small chip at a time. And time is not what the country can afford to waste at this juncture. It’s running out. Fast.

  4. Are all the huge job losses of very high paying oil field workers going to be replaced with bartenders and wait staff? Hell no, and the FED is NEVER going to be able to raise interest rates again without crashing the stock market and finally breaking the back of the US economy.

    Dave, have you any comments on the huge rise in the yield on the US 10 year Bond?
    This might me an ominous sign for the US debt market? TIA!!!

  5. From Calculated Risk site:

    Earlier: February Employment Report: 295,000 Jobs, 5.5% Unemployment Rate

    This was a very solid employment report with 295,000 jobs added, although job gains for January were revised down 18,000.

    Read more at http://www.calculatedriskblog.com/#ui7V7z60lhAeppby.99

    Makes me wonder what the revision down will be for Feb when it comes out next month.
    Dave – keep it coming. I can only think of you instead of Jack Nicholson in A Few Good Men – “The truth, the Truth!!! You can’t handle the truth”

    America is at a crossroads and I believe at a come to Jesus meeting moment – we either get our collective act together and return to what made this country great or turn away and let er’ sink. I am just sad about the prospect of our future.

  6. I WORK FOR A BIG POWER GENERATOR DID A PACKAGE DEAL LAST FALL FOR 55 AND OLDER 450 GONE ALL MAKE OVER 100K .THIS IS HAPPENING ALL OVER AND LOOK AT ANYTHING RELATED TO THE OIL SECTOR WHAT 200K GONE .DAVE YOUR SITE IS A MUST READ EVERYDAY GOOD WORK THANKS.

  7. Dave,

    Your math is wrong on the math check before post feature… It asked for the answer to 2+2 and said 4 is the right answer!

    Has anyone compared the value of the jobs gained/lost? X 1000 jobs at $75/year lost and X 1000 jobs at $20k / year gained for a net of $X… change ?

    beep beep

  8. The insanity of the manipulation is hard for the average joe to comprehend.
    The sociopaths in control are so desperate that they apparently don’t
    care anymore and will do anything and everything to try and keep their
    sinking ship afloat for a few more days while it’s obvious to any thinking
    person the ship is doomed. I am so sick of the continuous BS coming from
    the media that has the gall to call themselves investigative reporters. Dave
    you are ten times the reporter the media frauds claim to be. Keep up the
    good work.

  9. I completely agree with you Dave.
    Moreover, from the same Government own statistics, 86,000 from that 95,000 increased in employed comes from the age category of 16 to 19 years old. Employed women over 20 decreased by 82,000 and employed men over 20 increase by 92,000.
    In conclusion, this month the economy added just 10,000 jobs for people over 20 years old.

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