The above podcasts are for the September employment situation.
The podcasts of the September 2017 U.S. employment situation were produced and uploaded on October 6, 2017. And you can read the free newsletter of the current September 2017 employment situation below; in addition, you can sign-up to receive it automatically via e-mail every month!
September 2017 Employment Report
posted October 6, 2017
mobile | full web version
Technically, there was a 33,000 decline in the total number of nonfarm jobs in September because that many fewer paychecks were issued during the survey week, which is the week that contains the 12th day of the month. However, Hurricane Irma made landfall in Florida on September 10 and Hurricane Harvey hit Texas on August 25, just prior to the survey week. It is certainly conceivable that a lot of people in Florida and Texas who actually have jobs did not get paid during the week in September that the government tallies paychecks to count jobs. In August, nonfarm jobs increased 169,000.
On the other side of the monthly employment situation, the unemployment rate dropped to 4.2 percent in September from 4.4 percent the previous month. This metric was not as affected by the hurricanes because to be counted as employed a person only has to have a job, regardless if they missed worked and / or if they were paid or not. See the Household Survey section below for more detail.
With all of that said, the government reports that the "collection rates generally were within normal ranges, both nationally and in the affected states" for both surveys.
Temporary help services experienced good growth in September with August's flat performance significantly revised upward.
We are intentionally glossing over the topline job numbers because the impact of the hurricanes skewed those data. Keeping that in mind, private sector jobs were officially down by 40,000 in September, up 164,000 in August, up 133,000 in July, and a year ago, in September 2016, they were up 223,000. Although these macro data were impacted by the hurricane, the more detailed information -- especially many of the job numbers at the more detailed national sub-sector levels -- are not as affected.
The private Goods-producing sector was up 9,000 in September and that was clearly less than the 66,000 increase seen in August; a year ago, in September 2016, it was up 11,000.
Manufacturing shrank by 1,000 jobs in September after adding 41,000 in August; a year ago in September 2016, manufacturing was down 12,000 jobs.
The Construction sector growth slowed to an 8,000 increase in September after adding 19,000 in August; a year ago in September 2016, it was up 23,000.
Mining and logging was up 2,000 in September after adding 6,000 in August; a year ago, in September 2016, it was flat.
The private Service-providing sector was down 49,000 jobs in September, which was off from August's growth of 98,000; a year ago in September 2016, it was up 212,000.
The Retail trade sector was down 2,900 in September that followed shrinkage of 7,300 in August; in September 2016, it was up by 27,300.
The Wholesale trade sector expanded by 6,700 jobs in September after growth of only 1,800 in August; a year ago, in September 2016, it was up 13,300 jobs.
The Transportation and warehousing sector growth was really rolling in September with a gain of 21,800 jobs after adding 8,000 in August; this was in stark contrast to a year ago, in September 2016, when it was down 1,700.
Interest picked up a bit in Financial activities with the addition of 10,000 in September after adding 8,000 in August; a year ago in September 2016, it was up 9,000 jobs.
The Professional and business services sector slowed with growth of 13,000 in September compared to growth of 43,000 in August
The Education and health services sector
Leisure and hospitality sector was down 111,000 in September, likely impacted by Florida's Hurricane Irma; in August, it was flat and a year ago, in September 2016, it was up 11,000.
The total number of Government jobs was up 7,000. In September, the federal government was flat, State government was up 2,000, and Local government was up 5,000.
Although it looks like temporary help services regained its mojo in September with growth of 5,900 jobs it actually did not lose its momentum in August. When first reported last month, it appeared August was essentially flat with an increase of only 100 jobs, but previously months data were revised so August now is being reported as growth of 7,500 jobs. Sequential growth in September 2017 was 0.2 percent with year-over-year growth of 3.8 percent.
With that stated, a year ago, in September 2016, temporary help services was up 29,500 jobs. For a chart of temporary help's growth from January 1991 to Septmber 2017 and comparing its trend to total employment, click here.
Temporary help's market share -- that is its portion of all jobs -- advanced from August's 2.0777 percent to 2.0822 percent in September. A year ago, in September 2016, it was 2.0299 percent.
(if the chartis unclear, click on them to open in a browser window)
Here are some specifics regarding September's unemployment rate of 4.2 percent that was 0.2 percentage points below August's reading. As mentioned earlier, these data were less impacted by the hurricanes.
The civilian labor force expanded by 575,000 in September and there were 906,000 more employed persons and 331,000 fewer unemployed persons. In other words, the number of employed persons increased much greater than the expansion of the labor force at the same time the number of unemployed persons declined. Therefore, the unemployment rate declined.
The employment-to-population ratio increased 0.3 to 60.4 and the labor force participation rate was up 0.2 at 63.1 in September. There were 368,000 fewer people considered as not the labor force in September.
Will there be enough workers?
Do you anything to add on this subject? Let us know.
NEXT EMPLOYMENT REPORT -- FRIDAY,
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