Takeaway: #Reopening for Health Care has been slow to emerge...

Below is an excerpt from a complimentary research note by our Healthcare Team of Tom TobinWilliam McMahon, and Justin Venneri. We are pleased to announce our new Sector Pro Product Health Care Pro. Click HERE to learn more.

Chart Factory | ADP Employment May 2021 | Strong Evidence of Pent-Up Demand Release - 6 3 2021 12 08 02 PM


Medical consumption is closely tied to employment in the Health Care sector. 

ADP Employment Report for May 2021 shows a month over month gain in Health Care of +119K, the strongest gain since June 2020, to 20,182K.

We need another 1,097K jobs to fully recover to trend of 21,279K, an additional +5% from current levels.

Labor markets broadly and the Health Care labor market specifically, remain exceptionally tight for a host of reasons.

As we've been highlighting, medical consumption pent- up demand remains significant for many types of care, and we've only recently begun to see the signs that it's thawing. 

While demand for labor is directly positive for AMN, we expect all of our longs to benefit, and the May ADP Employment report is a solid signal we're getting into the meat of the thesis.

The labor report from BLS tomorrow morning should be strong too, but with even more detail about which subgroups are doing best. 

Chart Factory | ADP Employment May 2021 | Strong Evidence of Pent-Up Demand Release - ADPemp

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