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Statement of
Erica L. Groshen
Commissioner
Bureau of Labor Statistics
Friday, May 2, 2014
Nonfarm payroll employment rose by 288,000 in April, and
the unemployment rate fell by 0.4 percentage point to 6.3
percent. Job gains were widespread, led by employment growth in
professional and business services, retail trade, food services
and drinking places, and construction.
Incorporating the revisions for February and March, which
increased total nonfarm employment by 36,000 on net, monthly job
gains have averaged 238,000 over the past 3 months. In the 12
months prior to April, employment growth averaged 190,000 per
month.
Employment in professional and business services rose by
75,000 over the month. The industry had added an average of
55,000 jobs per month in the 12 months prior to April. Job
growth continued in temporary help services, which was up by
24,000 over the month. Employment increased in management of
companies (+12,000) and in computer systems design (+9,000).
Retail trade employment rose by 35,000 in April, with
modest gains throughout much of the industry. Employment in
retail trade has grown by 327,000 over the past 12 months.
Wholesale trade employment increased by 16,000 in April.
Employment continued to expand in food services and
drinking places in April (+33,000). The industry has added
337,000 jobs over the year.
Employment in construction rose by 32,000 in April.
Construction has added 189,000 jobs over the past year, with
almost three-fourths of the gain occurring over the past 6
months. In April, job gains occurred in heavy construction and
in residential building.
Health care added 19,000 jobs in April, in line with
average job growth over the prior 12 months.
Mining employment rose by 10,000 in April, largely in
support activities for mining (+7,000). April’s job growth in
mining was much stronger than the average monthly employment
change (+3,000) over the prior 12 months.
Average hourly earnings of all employees on private nonfarm
payrolls were unchanged at $24.31 in April. Over the past 12
months, average hourly earnings have risen by 1.9 percent. From
March 2013 to March 2014, the Consumer Price Index for All Urban
Consumers (CPI-U) rose by 1.5 percent.
Turning now to our survey of households, the unemployment
rate fell by 0.4 percentage point to 6.3 percent in April. The
number of unemployed persons fell by 733,000 to 9.8 million.
Both measures had shown little movement over the prior 4 months.
Over the year, the jobless rate declined by 1.2 percentage
points, and the number of unemployed persons decreased by 1.9
million.
In April, the number of unemployed reentrants and new
entrants declined by 417,000 and 126,000, respectively.
Reentrants are persons who previously worked but were not in the
labor force prior to beginning their job search, and new
entrants are unemployed persons who have never worked.
The civilian labor force dropped by 806,000 in April,
following a gain (+503,000) in March. The labor force
participation rate fell by 0.4 percentage point to 62.8 percent
in April. The participation rate has shown no clear trend in
recent months and currently is the same as it was this past
October.
Among persons not in the labor force in April--that is,
neither working nor looking for work--2.2 million were
classified as marginally attached to the labor force, down
slightly from a year earlier. These individuals 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. The number of discouraged workers, a subset of
the marginally attached who believed that no jobs were available
for them, was 783,000 in April, little changed from a year
earlier.
Our analysis of the household survey data suggests that the
April labor force decline was due mostly to fewer people
entering the labor force than usual, rather than to more people
exiting the labor force. As always, additional months of data
may provide further insights into recent labor market
developments.
In summary, nonfarm payroll employment rose by 288,000 in
April, and the unemployment rate fell to 6.3 percent.