Unemployment Edges Up to 9.0 Percent Despite Strong Job Growth

[Hannah Bell]

The unemployment rate edged up to 9.0 percent in April even as the Labor Department reported that the economy created 244,400 new jobs. This was the third consecutive month of job growth in excess of 200,000, with an average of 233,000 per month. All the growth was in the private sector as the government sector shed 24,000 jobs in April. Private sector job growth averaged 253,000 over this period.

The biggest job gains for the month were in retail (57,100) health care (37,300), manufacturing (29,000), and restaurants (26,800). April job growth for retail and restaurants was inflated by the later-than-usual Easter. The increase in retail employment was the highest since the sector added 78,500 jobs in April of 2000. This will be at least partially reversed next month.

The rise in manufacturing employment is keeping with its average growth of 28,000 in the prior three months; although an increase of 7,200 jobs in food manufacturing is not likely to be repeated. With average weekly hours flat over this period, the rate of job growth may slip in the months ahead. The April rise in health care employment followed an increase of 34,400 jobs in March. This 430,000 annual rate of growth in the sector will not be sustained; we will see slower growth in future months...



The employment-to-population ratio (EPOP) shows a much weaker picture, with the overall EPOP actually dropping by 0.3 percentage points since April 2010. Blacks are not yet seeing any gains from the recovery. The EPOP for blacks overall hit a new low of 51.5 percent in April, down from the previous low for the downturn of 51.8 percent in September. The 53.7 percent EPOP for black women is 0.7 percentage points below the prior low reached in March. The EPOP for black teens has edged up slightly from its low, but at 15.3 percent it is still only around half its 2000 level.

http://www.cepr.net/index.php/data-bytes/jobs-bytes/2011-05

[Donnachaidh]

1. there was umpteen posts about the *job growth* that either left out or minimized the uptick

in unemployment numbers.

Funny math is becoming institutionalized in the strangest of places. :shrug:

[MrTriumph]

2. This is why Pres. Obama cannot be reelected.

x

[leftstreet]

3. K&R