Friday, 10 January 2014

Bureau of labor Statistics: The Unemployment rate declined to 6.7% in December

 THE EMPLOYMENT SITUATION -- DECEMBER 2013


The unemployment rate declined from 7.0 percent to 6.7 percent in 
December, while total nonfarm payroll employment edged up (+74,000), 
the U.S. Bureau of Labor Statistics reported today. Employment rose 
in retail trade and wholesale trade but was down in information. 
Household Survey Data              
                
The number of unemployed persons declined by 490,000 to 10.4 million 
in December, and the unemployment rate declined by 0.3 percentage point 
to 6.7 percent. Over the year, the number of unemployed persons and the 
unemployment rate were down by 1.9 million and 1.2 percentage points, 
respectively. 

Among the major worker groups, the unemployment rates for adult men (6.3 
percent) and whites (5.9 percent) declined in December. The rates for adult 
women (6.0 percent), teenagers (20.2 percent), blacks (11.9 percent), and 
Hispanics (8.3 percent) showed little change. The jobless rate for Asians 
was 4.1 percent (not seasonally adjusted), down by 2.5 percentage points 
over the year. 

Among the unemployed, the number of job losers and persons who completed 
temporary jobs decreased by 365,000 in December to 5.4 million. The number 
of long-term unemployed (those jobless for 27 weeks or more), at 3.9 
million, showed little change; these individuals accounted for 37.7 percent 
of the unemployed. The number of long-term unemployed has declined by 894,000 
over the year. 

The civilian labor force participation rate declined by 0.2 percentage 
point to 62.8 percent in December, offsetting a change of the same 
magnitude in November. In December, the employment-population ratio was 
unchanged at 58.6 percent. The labor force participation rate declined by 
0.8 percentage point over the year, while the employment-population ratio 
was unchanged. 

The number of persons employed part time for economic reasons (sometimes 
referred to as involuntary part-time workers) was essentially unchanged at 
7.8 million in December. These individuals were working part time because 
their hours had been cut back or because they were unable to find full-
time work. 

In December, 2.4 million persons were marginally attached to the labor force, 
little changed from a year earlier. (The data are not seasonally adjusted.) 
These individuals were not in the labor force, wanted and were available for 
work, and had looked for a job sometime in the prior 12 months. They were not 
counted as unemployed because they had not searched for work in the 4 weeks 
preceding the survey. 
Among the marginally attached, there were 917,000 discouraged workers 
in December, down by 151,000 from a year earlier. Discouraged workers 
are persons not currently looking for work because they believe no jobs 
are available for them. The remaining 1.5 million persons marginally attached 
to the labor force in December had not searched for work for reasons such as 
school attendance or family responsibilities. 

Establishment Survey Data

Total nonfarm payroll employment edged up in December (+74,000). In 2013, 
job growth averaged 182,000 per month, about the same as in 2012 (+183,000 
per month). In December, job gains occurred in retail trade and wholesale 
trade, while employment declined in information. 

Employment in retail trade rose by 55,000 in December. Within the industry, 
job gains occurred in food and beverage stores (+12,000), clothing and 
accessories stores (+12,000), general merchandise stores (+8,000), and 
motor vehicle and parts dealers (+7,000). Retail trade added an average of 
32,000 jobs per month in 2013. 

In December, wholesale trade added 15,000 jobs. Most of the job growth 
occurred in electronic markets and agents and brokers (+9,000). Wholesale 
trade added an average of 8,000 jobs per month in 2013. 

Employment in professional and business services continued to trend up 
in December (+19,000). In 2013, job growth in professional and business 
services averaged 53,000 per month. Within the industry, temporary help 
services added 40,000 jobs in December, while employment in accounting and 
bookkeeping services declined by 25,000. 

Manufacturing employment continued to trend up in December (+9,000). 
Employment rose in primary metals (+4,000) and petroleum and coal products 
(+2,000), while electronic instruments (-4,000) lost jobs. Manufacturing 
added 77,000 jobs in 2013, compared with an increase of 154,000 jobs in 2012. 

Employment in mining edged up in December (+5,000). The industry added 
29,000 jobs over the year.      

Health care employment changed little in December (-6,000). Employment 
gains in the industry averaged 17,000 per month in 2013, compared with an 
average monthly gain of 27,000 in 2012. 

Employment in information fell by 12,000 in December, driven by a decline 
in the motion picture and sound recording industry (-14,000). Employment 
in information was essentially unchanged over the year. 

Construction employment edged down in December (-16,000).  However, in 
2013, the industry added an average of 10,000 jobs per month. Employment 
in nonresidential specialty trade contractors declined by 13,000 in 
December, possibly reflecting unusually cold weather in parts of the country. 

Employment in other major industries, including transportation and warehousing, 
financial activities, leisure and hospitality, and government, changed 
little in December.

The average workweek for all employees on private nonfarm payrolls edged 
down by 0.1 hour to 34.4 hours in December. The manufacturing workweek 
was unchanged, at 41.0 hours, and factory overtime edged up by 0.1 hour 
to 3.5 hours. The average workweek for production and nonsupervisory 
employees on private nonfarm payrolls edged down by 0.1 hour to 33.6 hours. 


In December, average hourly earnings for all employees on private nonfarm 
payrolls edged up by 2 cents to $24.17. Over the year, average hourly earnings 
have risen by 42 cents, or 1.8 percent. In December, average hourly earnings 
of private-sector production and nonsupervisory employees increased by 3 
cents to $20.35. 

The change in total nonfarm payroll employment for October remained at 
+200,000, and the change for November was revised from +203,000 to +241,000. 
With these revisions, employment gains in October and November were 38,000 
higher than previously reported. 

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