February 2000 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.

The unemployment rate was little changed in February at 4.1 percent, the Bureau of Labor Statistics of the U.S. Department of Labor reported today. Payroll employment edged up by 43,000 following a large increase in January (384,000). Average hourly earnings increased by 4 cents over the month and by 3.6 percent over the year.

Unemployment (Household Survey Data)

Both the number of unemployed persons (5.8 million) and the unemployment rate (4.1 percent) were about unchanged in February. The jobless rate has been below 4.2 percent for 5 consecutive months. Among the major worker groups, the unemployment rate for teenagers increased to 14.1 percent in February, about the same level as in December. Unemployment rates for adult men (3.4 percent), adult women (3.5 percent), whites (3.6 percent), blacks (7.8 percent), and Hispanics (5.7 percent) were little changed over the month. (See tables A-1 and A-2.)

Total Employment and the Labor Force (Household Survey Data)

The number of persons in the civilian labor force was about unchanged at 141.2 million in February, following a substantial rise in January. The labor force participation rate was 67.6 percent, a record high. Total employment was about unchanged in February, at 135.4 million (seasonally adjusted). The employment-population ratio--the proportion of the population age 16 and older with jobs--remained at a record high 64.8 percent. (See table A-1.)

About 7.7 million persons (not seasonally adjusted) held more than one job in February. These multiple jobholders represented 5.8 percent of the total employed, down from 6.1 percent in February 1999. (See table A-10.)

Persons Not in the Labor Force (Household Survey Data)

The number of persons who were marginally attached to the labor force in February totaled 1.3 million (not seasonally adjusted). These people wanted and were available to work and had looked for a job sometime in the prior 12 months. They are not counted as unemployed because they had not actively searched for work in the 4 weeks preceding the survey. The number of discouraged workers was 262,000 in February, about the same as a year earlier. Discouraged workers, a subset of the marginally attached, were not currently looking for work specifically because they believed no jobs were available for them. (See table A-10.)

Industry Payroll Employment (Establishment Survey Data)

Nonfarm payroll employment, 130.3 million, was up slightly in February, after seasonal adjustment. This followed a large increase in January that was due in part to unseasonably mild winter weather across most of the country during the survey reference period. The average job gain for the first 2 months of this year was 214,000, about in line with the average monthly increase for 1999. (See table B-1.)

In the goods-producing sector, construction employment was down by 26,000 in February following a substantial gain (116,000) in January. It is likely that unusually warm weather in the January survey reference period allowed employers to delay some winter layoffs. The largest employment declines in February occurred in the same weather-sensitive industries that had registered large increases in January--heavy construction and the concrete, masonry, and roofing trades.

Manufacturing employment was up by 5,000 in February and has increased by 31,000 since October. Factory employment had declined by 527,000 from March 1998 through October 1999. In February, the largest manufacturing employment gains were in electrical equipment (8,000), motor vehicles (6,000), and industrial machinery (6,000). In contrast, food products lost 10,000 jobs.

In mining, employment continued to edge up in oil and gas extraction. Since August, the oil and gas industry has added 9,000 jobs.

In the service-producing sector, employment in the services industry was uncharacteristically flat in February, following a rise of 142,000 in January. In 1999, monthly job gains in services averaged 121,000. Employment in business services was essentially unchanged over the month; the average monthly job gain in the industry in 1999 was 47,000. Health services added 6,000 jobs in February, only about half its average growth. Employment declined in agricultural services and amusement and recreation services--weather-sensitive industries that had large seasonally adjusted job gains in January. In contrast, strong job growth continued in engineering and management services.

Over the month, job growth in retail trade (33,000) was about in line with its average for the prior 12 months. The largest employment gains in the industry were in department stores, where seasonal layoffs in February were smaller than usual, and in furniture stores. Wholesale trade employment edged up by 8,000 over the month, about half its average monthly gain.

Finance, insurance, and real estate added 10,000 jobs in February, reversing a loss of 6,000 jobs in January. Within finance, the only industry to add jobs in February was security and commodity brokerages (up 7,000), continuing its strong growth trend.

Employment in transportation and public utilities changed little for the second consecutive month. In transportation, job losses occurred in trucking and air transportation. Employment in public utilities declined, but communications continued to add jobs.

Within the federal government, an additional 20,000 temporary workers were hired in February for the decennial census.

Weekly Hours (Establishment Survey Data)

The average workweek for production or nonsupervisory workers on private nonfarm payrolls edged down by 0.1 hour in February to 34.5 hours, seasonally adjusted. In manufacturing, both the average workweek and overtime hours rose by 0.2 hour to 41.9 hours and 4.8 hours, respectively. (See table B-2.)

The index of aggregate weekly hours of production or nonsupervisory workers on private nonfarm payrolls decreased by 0.4 percent to 149.9 (1982=100), seasonally adjusted. The manufacturing index increased 0.4 percent to 106.7. (See table B-5.)

Hourly and Weekly Earnings (Establishment Survey Data)

Average hourly earnings of production or nonsupervisory workers on private nonfarm payrolls rose by 4 cents in February to $13.53, seasonally adjusted. This followed a gain of 5 cents (as revised) in January. Over the month, average weekly earnings were essentially unchanged at $466.79, seasonally adjusted. Over the year, average hourly earnings rose by 3.6 percent, and average weekly earnings increased by 3.3 percent. (See table B-3.)