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Statement of
William J. Wiatrowski
Acting Commissioner
Bureau of Labor Statistics
Friday, July 6, 2018
Nonfarm payroll employment rose by 213,000 in June, and the
unemployment rate increased to 4.0 percent. Job gains occurred
in professional and business services, manufacturing, and health
care, while retail trade lost jobs.
Incorporating revisions for April and May, which increased
nonfarm payroll employment by 37,000, monthly job gains have
averaged 211,000 over the past 3 months.
Employment in professional and business services rose by
50,000 in June. Over the year, employment in the industry is up
by 521,000, with gains in employment services, computer systems
design, services to buildings and dwellings, and architectural
and engineering services.
Manufacturing employment increased by 36,000 in June. Job
gains occurred in durable goods components, including fabricated
metal products (+7,000), computer and electronic products
(+5,000), and primary metals (+3,000). Motor vehicles and parts
also added jobs over the month (+12,000), after declining by
8,000 in May. Over the year, manufacturing has added 285,000
jobs, with about three-fourths of the gain in durable goods
industries.
Health care employment increased by 25,000 over the month
and is up by 309,000 over the year. Hospitals added 11,000 jobs
in June, and employment in ambulatory care services continued to
trend up (+14,000).
Construction employment continued to trend up in June
(+13,000). The industry has added 282,000 jobs over the year.
Employment in mining also continued on an upward trend in
June (+5,000). Mining employment has expanded by 95,000 since a
recent low point in October 2016, almost entirely in support
activities for mining.
Retail trade employment declined by 22,000 in June, mostly
offsetting a gain (+25,000) in the prior month. Employment in
the industry has been about unchanged since February.
Employment in other major industries--wholesale trade,
transportation and warehousing, information, financial
activities, leisure and hospitality, and government--showed
little or no change over the month.
Average hourly earnings of all employees on private nonfarm
payrolls rose by 5 cents in June to $26.98. Over the past 12
months, average hourly earnings have increased by 2.7 percent.
From May 2017 to May 2018, the Consumer Price Index for All
Urban Consumers (CPI-U) increased by 2.7 percent (on a
seasonally adjusted basis).
Turning to data from the survey of households, the
unemployment rate rose from 3.8 percent to 4.0 percent in June.
The number of unemployed people increased by 499,000 to 6.6
million.
Among the unemployed, the number of people searching for
work for 27 weeks or longer rose by 289,000 to 1.5 million in
June. These long-term unemployed accounted for 23.0 percent of
the total unemployed.
The labor force participation rate edged up by 0.2
percentage point to 62.9 percent in June; this measure has shown
little movement on net over the year. The employment-population
ratio was unchanged at 60.4 percent in June and has been
essentially flat since February.
Among the employed, the number of people working part time
for economic reasons, also referred to as involuntary part-time
workers, changed little over the month at 4.7 million.
Among those neither working nor looking for work in June,
1.4 million were considered marginally attached to the labor
force, little different from a year earlier. Discouraged
workers, a subset of the marginally attached who believed that
no jobs were available for them, numbered 359,000 in June, down
by 155,000 from a year earlier. (People who are marginally
attached to the labor force 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 rose by 213,000 in
June, and the unemployment rate increased to 4.0 percent.