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understanding that the data are embargoed until 8:30 a.m.
Eastern Daylight Time.


                        Statement of
                              
                          Lois Orr
                     Acting Commissioner
                 Bureau of Labor Statistics
                              
                    Friday, July 5, 2002


     The unemployment rate was 5.9 percent and nonfarm
payroll employment stood at 130.7 million in June, little
changed from May.  The labor market has been in a holding
pattern in recent months, with nonfarm payroll employment
essentially flat since February and no significant change in
the unemployment rate since April.  Although the number of
unemployed has not changed significantly in the past 2
months, long-term unemployment has continued to climb.

     There were 8.4 million unemployed persons in June,
about the same number as in the prior month, but
approximately 2 million more than a year earlier.  The
unemployment rate, at 5.9 percent, was little changed over
the month.  Among the jobless, the number of persons
unemployed for 15 weeks or more rose to 3.1 million, nearly
double the number of such persons in June 2001.

     Nonfarm payroll employment was essentially unchanged in
June (+36,000).  Within the services division, health
services added 34,000 jobs over the month, primarily in
hospitals.  Employment in help supply services was basically
flat in June, following 3 consecutive monthly increases.
Engineering and management services shed 21,000 jobs,
erasing the gains in this industry over the previous 3
months.
     
     Manufacturing employment edged down by 23,000 in June,
about in line with losses posted in the prior 2 months.
Although employment in the industry continued to decline,
losses have moderated in recent months.  From the start of
the recession (March 2001) through January 2002, the average
monthly employment decline was 115,000.  In February and
March, losses averaged 63,000 per month; from April through
June, they averaged 24,000 per month.  The manufacturing
workweek increased by two-tenths of an hour to 41.1 hours in
June, the highest level since January 2001.  Factory
overtime also increased over the month, edging up one-tenth
of an hour to 4.3 hours.
     
     Average hourly earnings for production or
nonsupervisory workers on private nonfarm payrolls were up
by 6 cents over the month to $14.76.  Over the year, average
hourly earnings increased by 3.3 percent.
     
     In summary, data from both the establishment and
household surveys showed little change in June, continuing
the pattern of recent months.  Although none of the major
industry groups has shown substantial employment growth, the
large job losses that characterized much of 2001 have
abated.