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Statement of
Erica L. Groshen
Commissioner
Bureau of Labor Statistics
Friday, March 4, 2016
Nonfarm payroll employment increased by 242,000 in
February, and the unemployment rate held at 4.9 percent. Job
growth occurred in health care and social assistance, retail
trade, food services and drinking places, and private
educational services. Mining employment continued to decline.
Incorporating revisions for December and January, which
increased nonfarm payroll employment by 30,000, monthly job
gains have averaged 228,000 over the past 3 months. In the 12
months prior to February, employment growth averaged 225,000 per
month.
Employment in health care and social assistance rose by
57,000 in February. Health care added 38,000 jobs over the
month. Within health care, employment increased by 24,000 in
ambulatory care services (which includes offices of physicians
and home health care) and by 11,000 in hospitals. Employment in
hospitals has increased by 181,000 over the past year. The
social assistance industry added 19,000 jobs in February, mostly
in individual and family services (+14,000).
Retail trade added 55,000 jobs in February. Job gains
occurred in food and beverage stores (+15,000) and other general
merchandise stores (+13,000). Employment in retail trade
increased by 339,000 over the past year.
Employment in food services and drinking places rose by
40,000 in February. Over the past 12 months, the industry has
added 359,000 jobs.
Employment in private educational services rose by 28,000
in February, after edging down in January (-20,000).
Construction employment continued to trend up in February
(+19,000) and has increased by 253,000 over the past year. In
February, residential specialty trade contractors added 14,000
jobs; this industry accounted for about half of the job growth
in construction over the past year.
In February, employment in professional and business
services changed little for the second month in a row. In 2015,
the industry added an average of 52,000 jobs per month. Within
the industry, employment in professional and technical services
continued to trend up over the month (+18,000), while the number
of jobs in temporary help services was little changed.
Mining employment fell by 19,000 in February, with most of
the decline in support activities for mining (-16,000). Since a
recent peak in September 2014, employment in mining has
decreased by 171,000, or 20 percent. More than three-fourths of
the job losses over this period occurred in support activities
for mining.
Average hourly earnings of all employees on private nonfarm
payrolls fell by 3 cents in February to $25.35, following a
12-cent increase in January. Over the past 12 months, average
hourly earnings have risen by 2.2 percent. From January 2015 to
January 2016, the Consumer Price Index for All Urban Consumers
(CPI-U) increased by 1.3 percent (on a seasonally adjusted
basis).
Turning now to data from our survey of households, both the
unemployment rate, at 4.9 percent, and the number of unemployed
persons, at 7.8 million, held steady in February. Over the year,
these measures were down by 0.6 percentage point and 831,000,
respectively. Among the unemployed in February, 2.2 million, or
27.7 percent, had been jobless for 27 weeks or more.
In February, both the labor force and the number of
employed persons increased. The labor force participation rate
edged up to 62.9 percent, and the employment-population ratio
edged up to 59.8 percent. Both measures have risen by 0.5
percentage point since September.
Among those employed, the number working part time for
economic reasons, also referred to as involuntary part-time
workers, was unchanged in February at 6.0 million. (Involuntary
part-time workers are those who would have preferred full-time
employment but were working part time because their hours had
been cut back or because they were unable to find full-time
work.)
Among people who were neither working nor looking for work
in February, 1.8 million were classified as marginally attached
to the labor force, down from 2.2 million a year earlier. The
number of discouraged workers, a subset of the marginally
attached who believed that no jobs were available for them, was
599,000 in February, down from 732,000 a year earlier. (The
marginally attached are individuals who had not looked for work
in the 4 weeks prior to the survey but wanted a job, were
available for work, and had looked for a job within the last 12
months.)
In summary, nonfarm payroll employment increased by 242,000
in February, and the unemployment rate held at 4.9 percent.