(© FlaglerLive)
The national economy added 130,000 jobs in August, extending its growth streak to 107 months. The last time the economy lost jobs was in September 2010. The August numbers kept the unemployment rate at 3.7 percent, near a 50-year low, though job-creation for June and July was revised downward slightly, by 20,000. Still, job creation in the last three months totals nearly 500,000, pointing to continued resilience despite indications of weakness elsewhere in the economy, and in parts of the world. But hiring was less brisk.
Job growth has averaged 158,000 a month this year, below the average monthly gain of 223,000 in 2018. August’s employment gain was helped by the federal government’s hiring of 25,000 temporary census workers in preparation for the 2020 census, and 3,000 additional federal workers for other duties. Health care (24,000), financial activities (15,000) and professional and business services (37,000) were other big-gain sectors.
Hourly earnings were also up a healthy 11 cents in August, to $28.11, with 9-cent gains in June and July, pushing hourly earnings up 3.2 percent in the past 12 months, enough to outpace inflation and realize a net gain for wage earners. The labor force participation rate was up to 63.2 percent in August but that’s not a statistically significant change from where the rate has been since dropping from 67 percent before the 2001 recession and 66 percent before the Great Recession.
The smaller labor force participation rate is a reflection of the continuing retirement of boomers. Their replacements in the workforce are due less to the nation’s natural, native replenishment than to immigrants joining the workforce. According to the Bureau of Labor Statistics, immigrants have a lower unemployment rate than naive-born Americans: in 2018, they registered an unemployment rate of 3.5 percent, compared to 4 percent for native-born Americans. There were 28,2 million immigrants in the labor force in 2018, making up 17.4 percent of the total (up from 17.1 a year earlier), with Hispanics making up nearly half the total and Asians another quarter. The labor force participation rate among immigrants was 65.7 percent. Some 96 million Americans are not in the labor force.
The employment-population ratio, at 60.9 percent, was up over the month, and up by 0.6 percentage point over the year.
There are hints of concern. The number of workers employed part time for economic reasons–those who could not find full-time work or whose hours were cut back against their will–increased by 397,000, to 4.4 million in August, after declining by as much a month earlier. The Labor Department’s u=6, or alternative, measure of employment and under-employment, which accounts for those part-time workers and for those who are either marginally attached to the labor force or who have become discouraged and dropped out, increase from 7 percent in July to 7.2 percent in August. It was 7.4 percent a year ago. Still, as of June, there were 7.3 million job openings, with layoffs and firings at 1.7 million.
Job sectors losing workers in August include retail (11,000) and mining (6,000). Others sectors saw little change. There are indications that the manufacturing sector is cooling. Business investment is down. The so-called yield curve is now inverted. That happens when short-term bonds are more lucrative than long-term bonds, by the interest rate charged, pointing to investors stockpiling money into safer, longer-term investments because they’re worried about the near term. Every time the yield curve has inverted since 1955, a recession has followed.
Lorianne Lucienne says
I have to ask – is there a statistic on how many people aren’t on unemployment because they just aren’t looking for work?
really says
Oh boy temporary Census jobs
Fredrick says
I do not understand how this can be happening!! The economy was supposed to tank as soon as Trump took office. The Boy King Obama told us that we would never see the kind of growth we have been experiencing again. It was over. Jobs were not coming back to the US. There was no “magic wand”.
Libs better keep praying for a market crash…… that is all you got. Look at the candidates that you have tossed out there. All they can do is offer Free Free Free, all Repubs are racist, ………
As we get closer to the election more and more will come out about the REAL collusion in the last presidential election. Trump is playing the Libs and the libs media like a Stradivarius.. He is a nutball but glad to see someone not just stand there and take shit. Finally someone who fights back.
Trump saved us says
Trump saved our economy. If we were smart we would eliminate term limits and keep him in office!
Steve Manion says
Full recession if trump isn’t re-elected. But that’s what you want to tank the economy just to get him out.
Land of no turn signals says says
Go Trump
David T Schaefer says
Trump is still going to tell his daily lies…..
Dave says
Nice to see Obamas work is still paying off, as per usual By 2024 you will see the effects of the Trump era economy begin.
Name (required) says
107 straight months of jobs added!! Wow. That’s huge, I’m glad Trump could be in office to witness 30 of them so far. Great work Americans, keep living in that divisive lie your being pitched on TV and seethe over the (apparently) new American pastime that is reacting like a sanctimonious asshat about politics at every opportunity. Take a day off. Log -out. Turn off the “news.” Take a hike. Enjoy your lives. And ease off the “smartphone” pacifier, it’s making everyone dumb.
Agkistrodon says
Please tell me more Dave from your vast knowledge of economics. You know it is funny, whenever something bad happens TRUMP DID it, but something good, boy that is the result of Barry………………Sad, but I get it now.
Trump's Sharpie says
Look at all of the bigly coal jobs that Mister Trump has brought back! Coal is back, Bay-beeeee!!! Don’t pay any attention to the coal companies that have filed for bankruptcy or the 6,000 coal jobs lost in just August. This is what saving coal looks like! Look at all of the prosperity coming at you from the great coal state of West Virginia. Mr. Trump keeps ALL of his promises. His word is GOLD.
Fredrick says
Sorry @dave….. you libs said the economy would crash as soon as he was elected, didn’t happen. Obama said we would never see this kind of growth again, to get used to mediocre. Didn’t happen…… Of course the libs have said a lot of things that have been fiction regarding Trump….. keep trying. Ensure your loss in 2020,
Alphonse Abonte says
This can’t be true. The rich people and corporations kept all of the Trump tax cut. Working folks will never see a penny of it.
I learned this from someone with a BA in economics. And a liquor handler’s permit.
Besides the polls put Trump down against ALL Dem candidates, just like in 2016. Lets hear it from Demorats. They want to control you, keep you down, and dependent on the government.
CG says
All is great with trump. Mexico (us taxpayer) is paying for the wall. The budget deficit is no longer a problem (1 trillion+).American farmers are on welfare and mental health care will be provided for his gun nut supporters/voters. Yay! PS if you live in Alabama a hurricane is coming. Go buy supplies with money you don’t have in your dirt poor state.
Kathielee says
Thank you President Trump and your magic wand …
Alphonse Abonte says
Let’s take a moment to thank Wal Mart, Dicks, and Google for supporting locally owned gun shops.
If you listen to the DNC, MSM financial wizards talking heads propaganda, we’re headed for recession
mausborn says
Tanking The Economy by Donny Dumbo Trump isn’t unexpected in particular when such a leader deceive, and divided us into his daily ranted narcissism. His racial economical aims are the opposite of a successful and more united society working together toward better future. Of course the only Economics 101 Donny Dumbo knows are from Trump University. Btw Economists are always the last to abandon the sinking ship.
Trump tanked the thriving Obama economy! Dumbo …. The master of bankruptcy ….. Now he’s doing it to America . Wake up !!!!!
Katie Semore says
@all those heaping praise upon Trump. Not to burst your bubble or hero worship, but please note that Trump can only claim 31 of the 107 straight months of job growth. The other 76 months or more than 6 years of job growth belongs to Obama. Or as the good man once said, “You didn’t build that.”
steve says
We are already in a recession. Hasn’t showed up on the books yet. For better or worse theres nothing the ADM, FED, CORP America or Consumer can do about it. Tech has caused Deflationary spiral already sounding around the World. Policy has and will fail to curtail it. The Bond Mkt. will show the way .Near 20T across Globe negative yields, etc… Be careful what you wish for……..
steve says
PS POTUS had a Goldilocks economy which would have swept him into office. But, The China Trade confrontation, gone about the wrong way, with no Coalition, will diminish his chances. Only outcome for now will be Tariff cease fire…there is no Deal…GL God Bless