Quick Notes About the Unemployment Rate
- US Unemployment Rate fell .01 to 8.1%
- In the last year, the civilian population rose by 3,638,000. Yet the labor force only rose by 945,000. Those not in the labor force rose by 2,693,000.
- The Civilian Labor Force fell by 342,000.
- Those "Not in Labor Force" increased by 522,000. If you are not in the labor force, you are not counted as unemployed.
- Those "Not in Labor Force" is at a new record high of 87,419,000.
- By the Household Survey, the number of people employed fell by 169,000.
- By the Household Survey, over the course of the last year, the number of people employed rose by 2,237,000.
- Participation Rate fell .2 to 63.6%
- There are 7,853,000 workers who are working part-time but want full-time work
- Were it not for people dropping out of the labor force, the unemployment rate would be well over 11%.
This month was another disaster. Actual employment fell by 169,000 and the only reason the unemployment rate dropped is the civilian labor force fell by 342,000. These numbers are well past the point of believability and will be revised at some point in my opinion.
Over the past several years people have dropped out of the labor force at an astounding, almost unbelievable rate, holding the unemployment rate artificially low. Some of this was due to major revisions last month on account of the 2010 census finally factored in. However, most of it is simply economic weakness.
Jobs Report at a Glance
Here is an overview of today's release.
- US Payrolls +115,000 - Establishment Survey
- US Unemployment Rate dropped .01 to 8.1% - Household Survey
- Average workweek for all employees on private nonfarm payrolls was unchanged at 34.5 hours
- The average workweek for production and nonsupervisory employees on private nonfarm payrolls was unchanged at 33.8 hours.
- Average hourly earnings for all employees in the private sector rose by 1 cent.
Recall that the unemployment rate varies in accordance with the Household Survey not the reported headline jobs number, and not in accordance with the weekly claims data.
April 2012 Jobs Report
Please consider the Bureau of Labor Statistics (BLS) April 2012 Employment Report
Nonfarm payroll employment rose by 115,000 in April, and the unemployment rate was little changed at 8.1 percent, the U.S. Bureau of Labor Statistics reported today. Employment increased in professional and business ser