U.S. transportation sector sheds another 5,300 jobs in February

Job cuts at transportation and logistics companies during the month were again led by a decline in courier and messenger positions, according to recent preliminary data from the United States Department of Labor.    United States transportation and logistics companies cut another 5,300 jobs during the month of February, according to the latest preliminary data from the U.S. Department of Labor.
   The figures still represent a slight improvement from January, when transportation and logistics companies slashed a revised 19,500 positions.
   Job cuts during the month were again led by a decline in courier and messenger positions, which fell by 4,000 jobs. That sector shed an estimated 13,700 positions during the month, underscoring the seasonal nature of the parcel delivery industry. Express delivery companies like FedEx, UPS and DHL add thousands of temporary workers in the months leading up to the peak holiday delivery season.
   Railroads were also a major factor in the job losses, dropping 2,900 position compared with the previous month. Class I U.S. railways Norfolk Southern Corp. and CSX Transportation both announced in February they would eliminate positions as part of an overall effort to cut costs in the face of declining commodities volumes. Coal and crude oil shipments by rail have dropped significantly over the past 14 months amid plummeting prices.
   Employment in the U.S. warehousing sector, which was relatively flat added in January, saw a 2,400-job bump in February, and air transportation sector hiring remained flat, while trucking and water transportation companies lost around 600 jobs and 700 jobs, respectively.
   Overall, the U.S. added 242,000 jobs in January, another positive sign for the economy following an updated “second” preliminary estimate from the Department of Commerce showing gross domestic product (GDP) grew 1 percent in the fourth quarter of 2015. This is an improvement from the initial estimate of 0.7 percent GDP growth, but still considerably slower than the 2.2 percent rate seen in the third quarter.