Widget Image
Follow PPD Social Media
Follow Us:
Sunday, September 27, 2020
HomeNewsEconomyU.S. Economy Adds 1.8 Million Jobs in July, Unemployment Falls to 10.2%

U.S. Economy Adds 1.8 Million Jobs in July, Unemployment Falls to 10.2%

Series with themes reflecting a certain billionaire politician who won the 2016 presidential election touting a very strong labor market. (Photo: AdobeStock)

July Jobs Report Beats Expectations, Wages Rise 4.8%

Series with themes reflecting a certain billionaire politician who won the 2016 presidential election touting a very strong labor market. (Photo: AdobeStock)
Series with themes reflecting a certain billionaire politician who won the 2016 presidential election touting a very strong labor market. (Photo: AdobeStock)

Washington, D.C. (PPD) — The U.S. Bureau of Labor Statistics (BLS) reported the U.S. economy added 1.8 million jobs in July and the unemployment rate fell to 10.2%, beating the forecasts.

The forecasts for total nonfarm payrolls ranged from a low of 200,000 to a high of 2,400,000. The consensus was 1,675,000. The forecast for the unemployment rate ranged from a low of 9.8% to a high of 11.5%. The consensus forecast was 10.5%.

The labor force participation rate was virtually unchanged at 61.4% following increases in May and June. Total employment, as measured by the household survey, rose by 1.4 million in July to 143.5 million. The less-cited employment-population ratio rose by 0.5 percentage point to 55.1% but remains lower than in February (61.1%).

In July, construction employment changed little (+20,000), following job gains of 619,000 in May and June combined. Construction recovered roughly half of its pre-pandemic level in May, though employment in the industry remains 444,000 below its February level.

Manufacturing employment increased by 26,000 in July. While it recovered nearly 20% of its pre-pandemic level in May and has added 623,000 jobs over the past 3 months, employment is 740,000 lower than in February.

In July, wages, or average hourly earnings (AHEs) for all employees on private nonfarm payrolls, rose by 7 cents to $29.39. Average hourly earnings of private-sector production and nonsupervisory employees fell by 11 cents to $24.63.

Wages rose 4.8% on the 12-month basis in July after rising 4.9% in June. However, the large changes and pandemic response impact have complicated trends in wage growth, which has been consistently over the critical 3% threshold for nearly two years.

Total nonfarm payroll employment for May was revised up by 26,000, from +2,699,000 to +2,725,000, and June was revised down by 9,000, from +4,800,000 to +4,791,000, though the latter is still the largest gain ever on record, by far. Combined, the number of jobs created for the two months was 17,000 higher than previously reported.

Written by
Staff Writing Group

PPD Business, the economy-reporting arm of People's Pundit Daily, is "making sense of current events." We are a no-holds barred, news reporting pundit of, by, and for the people.

No comments

leave a comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.

People's Pundit Daily
You have %%pigeonMeterAvailable%% free %%pigeonCopyPage%% remaining this month. Get unlimited access and support reader-funded, independent data journalism.

Start a 14-day free trial now. Pay later!

Start Trial