The United States economy added nonfarm 315,000 jobs in August, according to the latest numbers from the Bureau of Labor Statistics. Unemployment also increased to 3.7%, a slight uptick from last month’s post-pandemic low. This was reportedly driven by an increase in labor force participation to 62.4%.
The 325,000 jobs added was barely below the projected Dow Jones estimate of 318,000 and much lower than July’s 526,000, while the 3.7% unemployment was two-tenths of a point higher than expected, according to CNBC.
— BLS-Labor Statistics (@BLS_gov) September 8, 2022
CNBC reported the sector breakdown:
Professional and business services led payroll gains with 68,000, followed by health care with 48,000 and retail with 44,000. Leisure and hospitality, which had been a leading sector in the pandemic-era jobs recovery, rose by just 31,000 for the month after averaging 90,000 in the previous seven months of 2022. The unemployment rate for the sector jumped to 6.1%, its highest since February.
Manufacturing rose 22,000, financial activities gained 17,000 and wholesale trade increased by 15,000.
— BLS-Labor Statistics (@BLS_gov) September 7, 2022
— Ed Abrams (@Abrams981) September 9, 2022
The ongoing labor shortage has contributed significantly to a rise in average hourly earnings, which now sits nationally at $32.36 and varies significantly by region. Wages are up 5.2% from a year ago, although 0.1% lower than expected. Currently, there are more than two unfilled job openings for every person who is unemployed.
From area-based wage & data analysis to top-notch recruiting methods to managing risk, the employment experts at Luttrell Staffing Group are here to help our clients deal with labor shortages and other difficult employment trends so you can do what you do best – run your business!