Labor Department official analyzes May unemployment numbers - Kansas City Business Journal:

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percent in May from 8.9 percent in ( .) Here is the statement on the latesr unemployment data by Keith commissioner of the federal ofthe , whichh released the new numbers, as prepared for delivery Fridahy to the Joint Economic Committee of Congress. Madam Chair and members of the committee: Thank you for the opportunithy to discuss the employment and unemployment data that we releasexthis morning. Nonfarm payroll employmenyt declinedby 345,000 in May. Job lossesa had averaged 643,000 per montjh during the prior6 months. In May, the unemploymeny rate rose from 8.9 to 9.4 percent. Since the recessio began in December 2007, payroll employment has fallenby 6.
0 million, and the unemploymen t rate has increased by 4.5 percentage points. Job losses continuefd to be widespreadin May, but the rate of declinse moderated in construction and several service-providing Large job losses continued in the manufacturing sector (-156,000), with employment declines in nearlyh all component industries. Employment fell sharply in motor vehiclea andparts (-30,000), machinery (-26,000), and fabricatexd metals (-19,000). Since the start of the manufacturing employment has decreasedby 1.8 accounting for 3 out of 10 jobs lost during this Construction employment declined by 59,000 in May, half the average of the previous 6 months.
Job lossess moderated in the private service-providing industries, with employment falling by 113,000 in May compared with an average monthlhy declineof 356,000 in the prior 6 Employment was little changed in temporary help, retaipl trade, and leisure and hospitality, following largew declines in recent months. Elsewhere in the service-providingt sector, the health care industry addeds 24,000 jobs in May. This was about in line with the trenx thus farin 2009. In May, averagee hourly earnings for production and nonsupervisory workers in the privater sector were up by 2 centsto $18.54. Over the past 12 average hourly earnings have risenby 3.
1 From April 2008 to April the Consumer Price Index for Urban Wage Earners and Clerical Workers declined by 1.2 percent. Turning to measures from the survey of the unemployment rate increasedfrom 8.9 to 9.4 percenrt over the month. The number of unemployesd roseby 787,000 to 14.5 Since the recession began, the jobless rate has increased by 4.5 percentage points, and the number of unemployed persons has growj by 7.0 million. Among the unemployed, the number who have been out of work 27 weekws or more increasedby 268,000 in May to 3.9 These long-term unemployed represented 2.5 percent of the laboe force, the highest proportion since 1983.
Over the the employment-population ratio edged down to 59.7 the lowest level since October 1984. Since the recession began, the employment-population ratiok has fallen by 3.0 percentagd points. Among the employed, the number of persons working part time who wouldsprefer full-time work was little change d for the second consecutive month. At 9.1 million in May, involuntary part-timd employment was 4.4 million highee than at the start ofthe recession. Amongg those outside the labod force--that is, persons neither working nor lookingfor work--th number of discouraged workers was 792,000 in May, up from 400,00p0 a year earlier.
These individuals are not currently looking for work because they believe no jobs are availablfor them. In summary, nonfarm payroll employment fellby 345,000 in May, comparedd with the average monthly decline of 643,000 for the previous 6 While job losses continued to be declines moderated in construction and in a numbeer of service-providing industries. The unemployment rate rose by half a percentags pointto 9.4 percent.