FOR DELIVERY: 9:30 A.M., E.D.T.
                            FRIDAY, JULY 7, 2000

Advance copies of this statement are made available to the
press under lock-up conditions with the explicit
understanding that the data are embargoed until 8:30 a.m.
Eastern Daylight Time.
                              
                        Statement of
                    Katharine G. Abraham
                        Commissioner
                 Bureau of Labor Statistics

                    Friday, July 7, 2000


     Good morning.  I am pleased to have this opportunity to
discuss the June employment and unemployment data that the
Bureau of Labor Statistics released this morning.
     
     Total payroll employment edged up by 11,000 in June, as
a large decline in the number of temporary workers hired by
the federal government for Census 2000 nearly offset job
growth in the private sector.  The number of payroll jobs in
private industries rose by 206,000 in June, following a
decline of 165,000 (as revised) in May.  So far this year,
private payrolls have increased by an average of 177,000 jobs
per month, compared with 202,000 per month for all of 1999.
The unemployment rate, at 4.0 percent in June, changed little
over the month and has been within a 3.9- to 4.1-percent band
since October 1999.
     
     In the goods-producing sector of the economy, employment
in mining edged up in June.  Since August 1999, job growth in
the oil and gas extraction component of mining has totaled
19,000.
     
     The number of construction jobs changed little over the
month, following declines in April and May.  Construction
employment levels have been somewhat volatile in the first
half of this year, reflecting atypical hiring patterns that
resulted from unusually mild winter weather.  In the first
half of this year, employment gains in construction averaged
20,000 per month, compared with an average monthly increase
of 25,000 for all of 1999.
     
     The number of factory jobs was essentially unchanged in
June.  Since last October, durable goods manufacturing has
added 38,000 jobs.  In June, increases in durable goods
employment occurred in electronic components, industrial
machinery, auto manufacturing, and fabricated metals.  In
nondurables, there were noteworthy gains in printing and
publishing and in food products, but most other industries
had small losses.  Employment in apparel posted a large
decline in June, falling by 9,000; since late 1994, when
employment in this industry reached its most recent peak,
losses have totaled 328,000, or one in every three jobs.
     
     The manufacturing workweek increased slightly (by 0.2
hour) in June to 41.6 hours, and factory overtime was little
changed at 4.6 hours.
     
     In June, employment in the services industry rose by
148,000, following little growth in May.  The number of jobs
in business services rose by 54,000 in June, and there were
noteworthy gains in engineering and management services,
amusement and recreation services, hotels, and health
services.
     
     Retail employment rose by 49,000 in June.  Job growth in
the first half of this year has averaged 32,000 per month,
roughly the same as the average monthly increase for all of
1999.  The bulk of the June increase was in eating and
drinking places and miscellaneous retail establishments.  The
number of jobs in building materials and garden supply stores
fell by 9,000, the industry’s third straight monthly decline.
     
     In transportation and public utilities, 18,000 jobs were
added in June, with large gains in air transportation and
communications.  Employment in wholesale trade declined for
the second consecutive month, following unusually large gains
in March and April.
     
     Elsewhere in the service-producing sector, employment in
finance, insurance, and real estate fell by 6,000 in June,
the industry’s fourth straight monthly decline.  After 4-1/2
years of steady growth, employment in the industry has fallen
this year, as declines in commercial banks, savings
institutions, mortgage banks, and insurance overpowered
growth in security brokerages.
     
     Federal government employment posted a decline of
197,000 in June.  Much of this decline reflects the departure
of 190,000 temporary workers whose work on Census 2000 was
completed.  After the last census in 1990, the large layoffs
of temporary workers began in July rather than June.
     
     Average hourly earnings of private production or
nonsupervisory workers rose by 5 cents in June, following an
increase of 2 cents in May.  Over the year, average hourly
earnings have risen by 3.6 percent.
     
     Turning to our household survey data, June's 4.0 percent
unemployment rate was about the same as May’s 4.1 percent.
Unemployment rates for the major demographic groups showed
little or no change over the month.
     
     Civilian employment rose by 464,000 in June, after an
unusually large decline in May of nearly a million.  The
proportion of the population that was employed edged up in
June to 64.5 percent.

     In summary, growth in private sector employment in June
was nearly offset by a large over-the-month decline in
temporary census employment.  The unemployment rate was about
unchanged at 4.0 percent.

     My colleagues and I now would be glad to answer your
questions.