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Statement of
Erica L. Groshen
Commissioner
Bureau of Labor Statistics
Friday, November 6, 2015
Nonfarm payroll employment rose by 271,000 in October, and
the unemployment rate was essentially unchanged at 5.0 percent.
Job gains occurred in professional and business services, health
care, retail trade, food services and drinking places, and
construction.
Incorporating revisions for August and September, which
increased nonfarm payroll employment by 12,000, on net, monthly
job gains averaged 187,000 over the past 3 months. In the 12
months prior to October, employment growth averaged 230,000 per
month.
Employment in professional and business services rose by
78,000 in October, compared with an average monthly gain of
52,000 over the prior 12 months. In October, job gains occurred
in administrative and support services (+46,000), computer
systems design and related services (+10,000), and architectural
and engineering services (+8,000).
The health care industry added 45,000 jobs in October. Over
the month, employment rose by 27,000 in ambulatory health care
services (which includes offices of physicians and home health
care) and by 18,000 in hospitals. Over the year, health care has
added 495,000 jobs, with about a third of the gain in hospitals.
Retail trade employment grew by 44,000 in October, compared
with an average monthly gain of 25,000 over the prior 12 months.
In October, job gains occurred in clothing and accessories
stores (+20,000), general merchandise stores (+11,000), and
automobile dealers (+6,000).
Within the leisure and hospitality industry, employment in
food services and drinking places rose by 42,000 in October and
by 368,000 over the year.
Construction added 31,000 jobs in October, following little
change in recent months. Over the month, nonresidential
specialty trade contractors added 21,000 jobs. Over the past 12
months, construction employment has increased by 233,000.
Employment in mining continued to trend down in October
(-5,000). Since reaching a recent peak in December 2014,
employment in this industry has declined by 109,000.
Manufacturing employment was unchanged over the month and has
shown little net change thus far this year.
Average hourly earnings of all employees on private nonfarm
payrolls rose by 9 cents in October to $25.20, following little
change (+1 cent) in September. Over the past 12 months, average
hourly earnings have risen by 2.5 percent. From September 2014
to September 2015, the Consumer Price Index for all Urban
Consumers (CPI-U) was unchanged (on a seasonally adjusted
basis).
Turning to measures from the household survey, both the
unemployment rate, at 5.0 percent, and the number of unemployed
persons, at 7.9 million, were essentially unchanged in October.
These measures were down by 0.7 percentage point and 1.1
million, respectively, over the year. Among the unemployed in
October, 26.8 percent had been jobless for 27 weeks or longer.
The labor force participation rate, at 62.4 percent, was
unchanged in October, after declining by 0.2 percentage point in
September. The employment-population ratio was little changed in
October, at 59.3 percent, and has shown little movement over the
past year.
The number of persons employed part time for economic
reasons edged down to 5.8 million in October. These individuals,
also referred to as involuntary part-time workers, 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. The number of persons working
part time for economic reasons has declined by 1.2 million over
the past year.
Among people who were neither working nor looking for work
in October, 1.9 million were classified as marginally attached
to the labor force, down from 2.2 million a year earlier. These
individuals had not looked for work in the 4 weeks prior to the
survey but wanted a job, were available to 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 665,000 in October, little
different from a year earlier.
In summary, nonfarm payroll employment increased by 271,000
in October, and the unemployment rate was essentially unchanged
at 5.0 percent.