24 July 2020

2020- n° 189

In May 2020, slight recovery in services output (+1.9%) Index of services production - May 2020

In May 2020, output in services rebounded after two months of strong decrease (+1.9% after −12.9% in April and −13.0% in March). Compared to February, the output remained in a sharp withdrawal (−22.8%).

In May 2020, following the progressive lifting of containment measures, the output recovered strongly in household services (+39.1% after −42.7%) and in accommodation and food service activities (−56.4% after −64.4%); in this section, the rebound is more important in food and beverage service activities (+70.5%) than in accommodation (+5.8%). However, despite a rebound in air transport, the output still went down in transportation and storage (−9.6% after −12.3%). It also decreased in business support activities (−1.1% after −5.9% in April): it diminished in administrative and business support activities (−5.4% after −6.5%) but bounced back in specialised, scientific and technical activities (+1.9% after −5.5%). In those two sectors, legal and accounting activities or veterinary activities were close to their usual level (before containment), whereas travel agency, tour operator plummeted again. The output also decreased strongly in employment activities; the index of production in this section could capture with a little delay the trends observed in temporary employment, due to lagged invoicing of wages in the turnover of temporary work companies. Lastly, the output decreased in information and communication (−1.9% after −5.5%), but the decline in this sector was relatively moderate in April and March.

Compared to February, output in services remained in a sharp withdrawal (−22.8%), notably in accommodation and food service activities (−72.5%), in arts, entertainment and recreation (−61.8%), in transportation and storage (−28.5%), in administrative and business support activities (−21,4%) and in other personal services (−20.5%). In information and communication (−6.6%) and in specialised, scientific and technical activities (−9.9%), the output decreased slightly compared to the rest of the services. Lastly, in other services activities which were strongly affected by the containment measures (they notably include the hairdressing and beauty care activities), the very strong rebound observed in May wiped out a large part of the decline in the two previous months.

Over the last three months from March to May, services output fell steeply compared to the previous three months (−20.5%).

The output plummeted in accommodation and food services activities (−68.7%). It went down sharply in business support activities (−12.5%): more in administrative and business service activities (−17.0%) than in specialised, scientific and technical activities (−9.2%). The output also fell drastically in household services (−48.4%). It diminished sharply in transportation and storage (−20.8%) and in real estate activities (−18.3%) and more moderately in information and communication (−4.4%).

In services, output of the last three months (March to May) declined by 20.5% compared to the same three months over a year.

It collapsed in accommodation and food service activities (−68.0%). It went down sharply in business support activities (−12.7%), more in administrative and business service activities (−16.7%) than in specialised, scientific and technical activities (−9.8%). The output also fell steeply in household services (−48.1%). It decreased sharply in transportation and storage (−22.8%) and in real estate activities (−18.8%) and more slightly in information and communication (−3.3%).

The month-on-month variation rate of the index of services production in April 2020 has been revised downwards by 0.3 points. Initially published at −12.6%, it has been stated at −12.9%.