Economy · August 5, 2022

528 thousand jobs, 3.5% unemployment rate.

from Active calculated risk 8/05/2022 08:43:00

From the BLS:

Total non-farm staff employment increased by 528,000 in July and the unemployment rate fell to 3.5%, the United States Bureau of Labor Statistics reported today. Employment growth was widespread, driven by earnings in leisure and hospitality, in professional and business services, and in health care. Both total nonfarm employment and the unemployment rate returned to the pre-pandemic levels of February 2020.

The change in total non-farm employment in May was revised up by 2,000, from +384,000 to +386,000, and the change in June was revised up by 26,000, from +372,000 to +398,000. With these revisions, employment in May and June combined is 28,000 more than previously reported.
emphasis added

Employment recessions, graph of the scariest jobsClick on the graphic to enlarge the image.

The first graph shows the loss of jobs since the beginning of the employment recession, in percentage terms.

The current employment recession was by far the worst recession since World War II in percentage terms.

However, 29 months after the onset of the current employment recession, all jobs are back.

Occupation that changes year after year
The second graph shows the year-over-year change in total non-farm employment since 1968.

In July, the year-over-year change was 6.15 million jobs. This has increased significantly year after year.

Total payrolls increased by 528,000 in July. Private paychecks increased by 471,000 and public payslips increased by 57,000.

The paychecks for May and June have been revised up to 28,000, together.

The third graph shows the employed population index and the participation rate.

Occupational population and participation rate
The labor force participation rate fell to 62.1% in July, from 62.2% in June. This is the percentage of the working-age population in the workforce.

The Employment-Population ratio rose to 60.0% from 59.9% (blue line).

I will publish the employment-population ratio graph for the age group between 25 and 54 years later.

unemployment rateThe fourth graph shows the unemployment rate.

The unemployment rate fell to 3.5% in July from 3.6% in June.

This was well above consensus expectations; and payrolls for May and June were revised up by 28,000.