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Statement of
Erica L. Groshen
Commissioner
Bureau of Labor Statistics
Friday, October 7, 2016
Nonfarm payroll employment increased by 156,000 in
September, and the unemployment rate was little changed at 5.0
percent. Job gains occurred in professional and business
services and in health care. Thus far this year, nonfarm job
growth has averaged 178,000 per month, compared with an average
gain of 229,000 per month in 2015.
Incorporating revisions for July and August, which reduced
nonfarm payroll employment by 7,000 on net, monthly job gains
have averaged 192,000 over the past 3 months.
Professional and business services employment rose by
67,000 in September and by 582,000 over the year. Within the
industry, employment in management and technical consulting
services increased by 16,000 over the month, and employment
continued to trend up in administrative and support services
(+35,000).
Health care added 33,000 jobs in September, with gains in
ambulatory health care services (+24,000) and hospitals
(+7,000). Over the past 12 months, health care employment has
grown by 445,000.
Employment continued to trend up in food services and
drinking places (+30,000) in September. Over the year, this
industry has added 300,000 jobs.
Employment also continued to trend up over the month in
retail trade (+22,000) and was up by 317,000 over the year.
Mining employment was flat in September; the rate of job
loss in the industry had been moderating in recent months.
Employment in other major industries, including
construction, manufacturing, wholesale trade, transportation and
warehousing, information, financial activities, and government,
changed little over the month.
Average hourly earnings of all employees on private nonfarm
payrolls increased by 6 cents in September to $25.79. Over the
past 12 months, average hourly earnings have risen by 2.6
percent. From August 2015 to August 2016, the Consumer Price
Index for All Urban Consumers (CPI-U) increased by 1.1 percent
(on a seasonally adjusted basis).
Turning to data from the survey of households, most major
labor market measures continued to show little or no change in
September. The unemployment rate, at 5.0 percent, and the number
of unemployed people, at 7.9 million, were essentially unchanged
over the month and have shown little net movement since August
2015.
Among the unemployed in September, 2.0 million, or 24.9
percent, had been searching for work for 27 weeks or more.
The labor force participation rate, at 62.9 percent, and
the employment-population ratio, at 59.8 percent, changed little
over the month. Both measures have shown little movement in
recent months, but were up by 0.5 percentage point over the
year.
Among the employed, 5.9 million worked part time for
economic reasons in September, little different from August.
(These involuntary part-time workers would prefer to work full
time, but had their hours cut back or were unable to find full-
time jobs.)
Among people who were neither working nor looking for work
in September, 1.8 million were marginally attached to the labor
force, about the same as a year earlier. Discouraged workers, a
subset of the marginally attached who believed that no jobs were
available for them, numbered 553,000 in September, also about
the same as a year earlier. (Marginally attached to the labor
force refers to those 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 156,000
in September, and the unemployment rate was little changed at
5.0 percent.