by Bill McBride on 6/03/2016 08:43:00 AM
Friday, June 03, 2016
From the BLS:
The unemployment rate declined by 0.3 percentage point to 4.7 percent in May, and nonfarm payroll employment changed little (+38,000), the U.S. Bureau of Labor Statistics reported today. Employment increased in health care. Mining continued to lose jobs, and employment in information decreased due to a strike.Click on graph for larger image.
The change in total nonfarm payroll employment for March was revised from +208,000 to +186,000, and the change for April was revised from +160,000 to +123,000. With these revisions, employment gains in March and April combined were 59,000 less than previously reported. Over the past 3 months, job gains have averaged 116,000 per month.
In May, average hourly earnings for all employees on private nonfarm payrolls increased by 5 cents to $25.59, following an increase of 9 cents in April. Over the year, average hourly earnings have risen by 2.5 percent.
The first graph shows the monthly change in payroll jobs, ex-Census (meaning the impact of the decennial Census temporary hires and layoffs is removed - mostly in 2010 - to show the underlying payroll changes).
Total payrolls increased by 38 thousand in May (private payrolls increased 25 thousand).
Payrolls for March and April were revised down by a combined 59 thousand.
This graph shows the year-over-year change in total non-farm employment since 1968.
In May, the year-over-year change was 2.39 million jobs. A solid gain.
The third graph shows the employment population ratio and the participation rate.
The Labor Force Participation Rate decreased in May to 62.6%. This is the percentage of the working age population in the labor force. A large portion of the recent decline in the participation rate is due to demographics.
The Employment-Population ratio was unchanged at 59.7% (black line).
I'll post the 25 to 54 age group employment-population ratio graph later.
The fourth graph shows the unemployment rate.
The unemployment rate declined in May to 4.7%.
This was way below expectations of 158,000 jobs.
I'll have much more later ...
Posted by Bill McBride on 6/03/2016 08:43:00 AM