According to the ADP National Employment Report released this morning, nonfarm private employment decreased 532,000 from April to May 2009 on a seasonally adjusted basis. This is good news as it shows the acceleration in job losses has disappeared and we may start approaching reduced levels of layoffs.

According to ADP’s report, monthly losses in April and May averaged 539,000 employees. This is comparable to January, February, and March’s 691,000 monthly losses. That is a decline of approximately 22%.

This doesn’t mean we are in positive territory where more jobs are being created than lost but it means the recession might have reached its peak and is now declining as the economy adjusts. June will be an important month that could determine how much credibility the stabilization argument has accumulated.

One final consideration is that new jobs may have been put off during the recession. This could lead to a buildup of new positions once sentiment changes and unemployment drops off. This supressed economic activity could help bolster the economy once the deep recession comes off its peak.