The number of unemployed and the unemployment rate held at 7.1 million and 4.6 percent, respectively, in August. The unemployment level and rate were little changed from a year earlier. In August, the unemployment rates for adult men (4.1 percent), adult women (4.1 percent), teenagers (16.1 percent), whites (4.2 percent), blacks (7.7 percent), and Hispanics (5.5 percent) showed little or no change. The unemployment rate for Asians was 3.4 percent, not seasonally
adjusted.
Total Employment and the Labor Force (Household Survey Data)
In August, the civilian labor force edged down to 152.9 million, and the labor force participation rate decreased to 65.8 percent. The declines were largely due to a drop in labor force participation among teenagers; their participation rate fell to 39.7 percent. Total employment (145.8 million) and the employment-population ratio (62.8 percent) were little changed over the month.
The number of persons employed part time for economic reasons, at 4.5 million in August, was 359,000 higher than a year earlier. This category includes persons who indicated that they would like to work full time but were working part time because their hours had been cut back or because they were unable to find fulltime jobs.
Persons Not in the Labor Force (Household Survey Data)
Nearly 1.4 million persons (not seasonally adjusted) were marginally attached to the labor force in August, down by 227,000 from a year earlier. These individuals wanted and were available to work and had looked for a job sometime during the prior 12 months. They were not counted as unemployed because they had not searched for work in the 4 weeks preceding the survey. Among the marginally attached, there were 392,000 discouraged workers in August, little different from a year earlier. Discouraged workers were not currently looking for work specifically because they believed no jobs were available for them. The nearly 1.0 million remaining persons marginally attached to the labor force in August had not searched for work in the 4 weeks preceding the survey for reasons such as school attendance and family responsibilities.
Industry Payroll Employment (Establishment Survey Data)
In August, total payroll employment was essentially unchanged (-4,000) at 138.0 million, seasonally adjusted. This followed little job growth in June (+69,000) and July (+68,000), as revised. In August, employment continued to fall in manufacturing and construction; local government education also lost jobs. Job gains continued in health care and in food services and drinking places.
Manufacturing employment declined by 46,000 in August. This industry has lost 215,000 jobs over the past year. In August, declines were widespread among component industries. Within durable goods, there were job losses in motor vehicles and parts (-11,000), machinery (-7,000), wood products (-7,000), furniture and related products (-4,000), and semiconductors and electronic components (-4,000). In nondurable goods manufacturing, job losses continued in apparel (-4,000) and in textile mills (-2,000).
Construction employment declined in August (-22,000), with most of the loss occurring among residential specialty trade contractors. Since its most recent peak in September 2006, construction employment has fallen by 96,000.
Employment in local government education fell by 32,000 in August, as seasonal hiring was less than usual.
Health care employment continued to grow in August (+35,000); the industry added 396,000 jobs over the year. In August, employment continued to grow in all the components of health care: ambulatory care services (+18,000), hospitals (+11,000), and nursing and residential care (+6,000). Employment in social assistance rose by 14,000 and was 83,000 above its year-ago level.
Within leisure and hospitality, food services and drinking places employment continued to expand in August (+24,000). The industry has added 350,000 jobs over the year. Employment in the accommodations industry has trended down over the past 3 months.
Employment in retail trade was little changed in August. A job gain in building material and garden supply stores was partially offset by a decline in general merchandise stores. Wholesale trade employment changed little in August.
Employment in financial activities was flat in August, following a large increase in July. Within the industry, employment in credit intermediation edged down over the month and is 19,000 below its most recent peak in February 2007. In professional and business services, management and technical consulting services added 7,000 jobs in August, and temporary help employment continued to trend down. Temporary help has lost 72,000 jobs thus far in 2007.
Weekly Hours (Establishment Survey Data)
The average workweek for production and nonsupervisory workers on private nonfarm payrolls, at 33.8 hours, and the manufacturing workweek, at 41.3 hours, were unchanged in August. Factory overtime fell by 0.1 hour to 4.1 hours.
The index of aggregate weekly hours of production and nonsupervisory workers on private nonfarm payrolls was unchanged in August at 107.6 (2002=100). The manufacturing index fell by 0.3 percent over the month to 95.4.
Hourly and Weekly Earnings (Establishment Survey Data)
Average hourly earnings of production and nonsupervisory workers on private nonfarm payrolls increased by 5 cents, or 0.3 percent, in August to $17.50, seasonally adjusted. Average weekly earnings grew by 0.3 percent over the month to $591.50. Over the year, both average hourly and weekly earnings rose by 3.9 percent.
