US Economy Adds 151K Jobs in August, The Least in 4 Months

Total nonfarm payroll employment in the United States increased by 151,000 in August of 2016, much lower than an upwardly revised 275,000 in July and below market expectations of 180,000. It is the lowest figure in four months, with employment rising in service-providing industries but falling in manufacturing, mining and construction.
BLS | Joana Taborda | joana.taborda@tradingeconomics.com 9/2/2016 3:52:00 PM
Employment in food services and drinking places continued to trend up over the month (+34,000). Over the year, the industry has added 312,000 jobs.

Social assistance added 22,000 jobs over the month, with most of the growth in individual and family services (+17,000).

In August, employment in professional and technical services edged up (+20,000), about in line with its average monthly gain over the prior 12 months (+24,000).

Financial activities employment continued on an upward trend in August (+15,000), with a gain in securities, commodity contracts, and investments (+6,000). Over the year, financial activities has added 167,000 jobs.

Health care employment continued to trend up in August (+14,000), but at a slower pace than the average monthly gain over the prior 12 months (+39,000). In August, hospitals added 11,000 jobs, and employment in ambulatory health care services trended up (+13,000). A job loss in nursing and residential care facilities (-9,000) offset a gain in July.

Employment in mining continued to trend down in August (-4,000). Since reaching a peak in September 2014, employment in mining has declined by 223,000, with losses concentrated in support activities for mining.

Employment in manufacturing declined by 14,000 while construction sheded 6,000 jobs, Several other industries added jobs,: wholesale trade (+4,000), retail trade (+15,000), transportation and warehousing (+15,000), government (+25,000).

The average workweek for all employees on private nonfarm payrolls decreased by 0.1 hour to 34.3 hours in August. In manufacturing, the workweek declined by 0.2 hour to 40.6 hours, while overtime was unchanged at 3.3 hours. The average workweek for production and nonsupervisory employees on private nonfarm payrolls decreased by 0.1 hour to 33.6 hours. 

In August, average hourly earnings for all employees on private nonfarm payrolls rose by 3 cents to $25.73. Over the year, average hourly earnings have risen by 2.4 percent. Average hourly earnings of private-sector production and nonsupervisory employees increased by 4 cents to $21.64 in August. 

The change in total nonfarm payroll employment for June was revised down from +292,000 to +271,000, and the change for July was revised up from +255,000 to +275,000. With these revisions, employment gains in June and July combined were 1,000 less than previously reported. Over the past 3 months, job gains have averaged 232,000 per month.

US Economy Adds 151K Jobs in August, The Least in 4 Months