U.S Reports Strong Job Growth

By Jeffrey Bellant July 03, 2021
 Ex Boston Mayor Marty Walsh was nominated for Secretary of Labor on January 7, 2021. Ex Boston Mayor Marty Walsh was nominated for Secretary of Labor on January 7, 2021.

Total nonfarm payroll employment rose by 850,000 in June, and the unemployment rate was little changed at 5.9 percent, the U.S. Bureau of Labor Statistics reported July 2. Notable job gains occurred in leisure and hospitality, public and private education, professional and business services, retail trade, and other services.

"With a total of more than 3 million jobs since President Biden took office, this increasingly strong job growth reflects growing confidence among workers as more people get vaccinated and American Rescue Plan investments provide stability for families, businesses, and communities,” U.S. Secretary of Labor Secretary Marty Walsh said.

“I’ve been seeing this progress firsthand as I travel around the United States encouraging people to get vaccinated and discussing their economic situation and job needs. Americans are going back to work in large numbers, but this is no time to let up. We are still down millions of jobs from pre-pandemic levels and the inequities heightened by the crisis persist. We need to be proactive in our policies to create good jobs and make sure all workers have access to those jobs.”

Both the unemployment rate, at 5.9 percent, and the number of unemployed persons, at 9.5 million, were little changed in June. 

Among the unemployed, the number of job leavers – that is, unemployed persons who quit or voluntarily left their previous job and began looking for new employment increased by 164,000 to 942,000 in June. The number of persons on temporary layoff, at 1.8 million, was essentially unchanged over the month. 

In June, the number of long-term unemployed (those jobless for 27 weeks or more) increased by 233,000 to 4.0 million, following a decline of 431,000 in May. These long-term unemployed accounted for 42.1 percent of the total unemployed in June. The number of persons jobless less than 5 weeks, at 2.0 million, changed little in June.

The U.S. economy added 850,000 jobs in June as the pace of the recovery surged. 

 The labor force participation rate was unchanged at 61.6 percent in June and has remained within a narrow range of 61.4 percent to 61.7 percent since June 2020.

The number of persons employed part time for economic reasons decreased by 644,000 to 4.6 million in June. This decline reflected a drop in the number of persons whose hours were cut due to slack work or business conditions. The number of persons employed part time for economic reasons is up by 229,000 since February 2020. These individuals, who would have preferred full-time employment, were working part time because their hours had been reduced or they were unable to find full-time jobs.

In June, the number of persons not in the labor force who currently want a job was 6.4 million, little changed over the month but up by 1.4 million since February 2020. These individuals were not counted as unemployed because they were not actively looking for work during the last 4 weeks or were unavailable to take a job.

Among those not in the labor force who currently want a job, the number of persons marginally attached to the labor force, at 1.8 million, changed little in June but is up by 393,000 since February 2020. These individuals wanted and were available for work and had looked for a job sometime in the prior 12 months but had not looked for work in the 4 weeks preceding the survey. The number of discouraged workers, a subset of the marginally attached who believed that no jobs were available for them, was 617,000 in June, essentially unchanged from the previous month but 216,000 higher than in February 2020.

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Last modified on Tuesday, 06 July 2021 14:25