September 1994 Employment Situation

Historical release narrative reproduced from the official public-domain source. Statistical tables, standard technical appendices, administrative material and attendance rosters are omitted; formatting is adapted for reading. Figures retain the release's historical context and may have been revised. Consult the linked source for the complete document.

Employment continued to rise in September and unemployment fell, the Bureau of Labor Statistics of the U.S. Department of Labor reported today.

The unemployment rate declined over the month, from 6.1 to 5.9 percent. The rate had been 6.7 percent in January (the first month based on the revised questionnaire and survey procedures).

Nonfarm payroll employment, as measured by the employer survey, rose by 239,000 in September, while total employment, as measured by the survey of households, increased sharply for the second consecutive month after growing very slowly earlier in the year. Both surveys show substantial growth since January.

Unemployment (Household Survey Data)

Unemployment declined in September, with the number of unemployed persons dropping by 308,000 to 7.7 million and the unemployment rate decreasing by 0.2 percentage point to 5.9 percent. Since January, the unemployment rate has fallen by 0.8 percentage point, while the number of unemployed persons has dropped by about 1 million. (See table A-1.)

Among the major labor force groups, adult men accounted for much of the overall decline in unemployment; their unemployment rate was 5.1 percent in September, down 0.3 percentage point over the month. The rates for adult women (5.3 percent) and teenagers (17.0 percent) were both little changed from August. The unemployment rates for whites (5.1 percent) and blacks (10.7 percent) were down marginally in September, while the rate for Hispanics (10.2 percent) was unchanged. (See tables A-1 and A-2.) The number of persons unemployed because they had lost their previous jobs or completed temporary ones declined by 243,000 in September and has dropped by nearly 900,000 since January (table A-6).

Total Employment and the Labor Force (Household Survey Data)

The total number of employed persons increased by 462,000 in September, seasonally adjusted. Since January, the series has increased by 1.7 million. The employment-to-population ratio--the proportion of the working-age population with jobs--was 62.7 percent, an increase of half a percentage point from January. (See table A-1.)

The number of persons working part time for economic reasons--those who would have preferred full-time employment--was about unchanged in September, at 4.3 million, while those working part time voluntarily declined to 17.6 million. (See table A-3.) The number of multiple jobholders--those holding two or more jobs--was 7.5 million (not seasonally adjusted) in September, or 6.1 percent of total employment (table A-8).

The civilian labor force was little changed in September at 131.3 million, following a large increase in August. The labor force participation rate--the proportion of the population either working or looking for work--was unchanged in September at 66.6 percent. Since January, the labor force has risen by nearly 700,000. (See table A-1.)

Persons Not in the Labor Force (Household Survey Data)

The number of persons who want and are available for work and have looked for jobs sometime in the past year, but are no longer actively seeking employment, was 1.9 million (not seasonally adjusted) in September. Of that number, those who were not looking because they think their prospects for finding jobs are poor--discouraged workers--totaled 521,000. (See table A-8.)

Industry Payroll Employment (Establishment Survey Data)

Nonfarm payroll employment increased by 239,000 in September to 114.1 million, after seasonal adjustment. While much of the growth was again concentrated in services, there also were increases in construction, trade, transportation, and government. (See table B-1.)

Construction employment was up by 19,000 in September (seasonally adjusted) after holding steady in August. Employment in this industry has risen by nearly a half million since mid-1992, with most of the growth occurring among special trade contractors.

Manufacturing employment held steady in September, following an increase of 39,000 in August. The number of factory jobs has risen by 147,000 since reaching a low point a year ago. Within durable goods, further employment gains occurred in the auto industry, electronic equipment, and primary metals, which together added 14,000 jobs. Within nondurable goods, small but widespread job declines totaled 13,000.

Within the service-producing sector, employment in the services industry rose by 101,000 over the month, somewhat below the average monthly growth over the past year. Much of the September advance occurred in business (54,000) and social services (24,000). For the second month in a row, the increase in the personnel supply component of business services

(28,000) was less than its monthly average over the past year. Job declines continued in hotels and in amusements and recreation, offsetting gains earlier in the year.

Employment in retail trade increased modestly for the second straight month, with a 40,000 gain in September; this followed robust growth in June and July. Much of those earlier gains had been in eating and drinking places, which has shown a net loss since July. Automotive dealers and furniture stores continued to add jobs. Wholesale trade employment increased by 10,000 over the month, continuing a pattern of moderate gains.

Widespread job gains in the transportation industry totaled 19,000 in September. The impact of higher interest rates continued to be felt in the finance industry, with further job declines in mortgage banking. Employment in depository institutions also continued to decline. Employment in real estate was flat, following a large August increase.

Government employment rose by 65,000 in September. This increase partly reflected strength in state education, as enrollment increases in higher education spurred September hiring. In the noneducation component of local government, job growth was affected in part by the hiring of temporary election workers in several states. Federal government employment was about unchanged.

Weekly Hours (Establishment Survey Data)

The average workweek for production or nonsupervisory workers on private nonfarm payrolls edged up by 0.1 hour in September to 34.6 hours, seasonally adjusted. The manufacturing workweek and overtime hours remained at 42.0 and 4.6 hours, respectively. (See table B-2.)

As a result of increases in both employment and hours, the index of aggregate weekly hours of private production or nonsupervisory workers on nonfarm payrolls increased by 0.7 percent in September to 129.8 (1982=100), after seasonal adjustment. The index for manufacturing, however, was unchanged over the month at 105.6. (See table B-5.)

Hourly and Weekly Earnings (Establishment Survey Data)

Average hourly earnings of private production or nonsupervisory workers increased by 0.3 percent in September to $11.16, seasonally adjusted. Weekly earnings increased by 0.6 percent to $386.14. Over the year, hourly earnings increased by 2.6 percent and weekly earnings by 3.2 percent. (See table B-3.)

HOUSEHOLD DATA Table A-1. Employment status of the civilian population by sex and age

1/ The population figures are not adjusted for seasonal variation; therefore, identical numbers appear in the unadjusted and seasonally adjusted columns. 2/ Data for 1994 are not directly comparable with data for 1993 and earlier years. For additional information, see "Revisions in the Current Population Survey Effective January 1994" in the February 1994 issue of Employment and Earnings.

1/ The population figures are not adjusted for seasonal variation; therefore, identical numbers appear in the unadjusted and seasonally adjusted columns. 2/ Data for 1994 are not directly comparable with data for 1993 and earlier years. For additional information, see "Revisions in the Current Population Survey Effective January 1994" in the February 1994 issue of Employment and Earnings. NOTE: Detail for the above race and Hispanic-origin groups will not sum to totals because data for the "other races" group are not presented and Hispanics are included in both the white and black population groups.

(In thousands)

1/ Data for 1994 are not directly comparable with data for 1993 and earlier years. For additional information, see "Revisions in the Current Population Survey Effective January 1994" in the February 1994 issue of Employment and Earnings. NOTE: Persons at work excludes employed persons who were absent from their jobs during the entire reference week for reasons such as vacation, illness, or industrial dispute. Part time for noneconomic reasons excludes persons who usually work full time but worked only 1 to 34 hours during the reference week for reasons such as holidays, illness, and bad weather.

1/ Unemployment as a percent of the civilian labor force. 2/ Data for 1994 are not directly comparable with data for 1993 and earlier years. For additional information, see "Revisions in the Current Population Survey Effective January 1994" in the February 1994 issue of Employment and Earnings. 3/ Seasonally adjusted unemployment data for service occupations are not available because the seasonal components are small relative to the trend-cycle and/or irregular components and consequently cannot be separated with sufficient precision.

1/ Data for 1994 are not directly comparable with data for 1993 and earlier years. For additional information, see "Revisions in the Current Population Survey Effective January 1994" in the February 1994 issue of Employment and Earnings.

1/ Data for 1994 are not directly comparable with data for 1993 and earlier years. For additional information, see "Revisions in the Current Population Survey Effective January 1994" in the February 1994 issue of Employment and Earnings. 2/ Not available.

1/ Unemployment as a percent of the civilian labor force. 2/ Data for 1994 are not directly comparable with data for 1993 and earlier years. For additional information, see "Revisions in the Current Population Survey Effective January 1994" in the February 1994 issue of Employment and Earnings.

1/ Data refer to persons who have searched for work during the prior 12 months and were available to take a job during the reference week. 2/ Includes thinks no work available, could not find work, lacks schooling or training, employer thinks too young or old, and other types of discrimination. 3/ Includes those who did not actively look for work in the prior 4 weeks for such reasons as child-care and transportation problems, as well as a small number for which reason for nonparticipation was not determined. 4/ Includes persons who work part time on their primary job and full time on their secondary job(s), not shown separately.

California

Florida

Illinois

Massachusetts

Michigan

New Jersey

New York

North Carolina

Ohio

Pennsylvania

Texas

1/ These are the official Bureau of Labor Statistics' estimates used in the administration of Federal fund allocation programs.

2/ The population figures are not adjusted for seasonal variation; therefore, identical numbers appear in the unadjusted and the seasonally adjusted columns. 3/ Data for 1994 are not directly comparable with data for 1993 and earlier years. For additional information, see "Revisions in the Current Population Survey Effective January 1994" in the February 1994 issue of Employment and Earnings.