Global| Jan 09 2015U.S. Payroll Employment Growth Improves in 2014; Unemployment Rate Falls to 2008 Low
by:Tom Moeller
|in:Economy in Brief
Summary
The job market remains firm. Nonfarm payroll jobs grew 2.527 million (1.9%) last year, the strongest increase since 2000. Moreover, the 252,000 rise during December (2.1% y/y) followed upwardly revised gains of 353,000 and 261,000 [...]
The job market remains firm. Nonfarm payroll jobs grew 2.527 million (1.9%) last year, the strongest increase since 2000. Moreover, the 252,000 rise during December (2.1% y/y) followed upwardly revised gains of 353,000 and 261,000 during the prior two months, earlier reported as 321,000 and 243,000. A 243,000 increase had been expected in the Action Economics Forecast Survey. Firm job gains were logged across sectors, but construction's 48,000 increase (4.9% y/y) was the largest monthly gain since January of last year. The unemployment rate declined to 5.6%, the lowest point since June 2008. A 5.8% rate had been expected. The overall unemployment rate including marginally attached and part time workers for economic reasons fell to 11.2%.
The figures referenced above are available in Haver's USECON database. Additional detail can be found in the LABOR and in the EMPL databases. The expectation figures are from Action Economics and are in the AS1REPNA database.
Declining Labor Force Participation and Its Implications for Unemployment and Employment Growth from the Federal Reserve Bank of Chicago can be found here.
| Employment: (M/M Chg., 000s) | Dec | Nov | Oct | Y/Y | 2014 | 2013 | 2012 |
|---|---|---|---|---|---|---|---|
| Payroll Employment | 252 | 353 | 261 | 2.1% | 1.9% | 1.7% | 1.7% |
| Previous | -- | 321 | 243 | -- | -- | -- | -- |
| Manufacturing | 17 | 29 | 24 | 1.5 | 1.1 | 0.7 | 1.7 |
| Construction | 48 | 20 | 16 | 4.9 | 3.6 | 3.3 | 2.1 |
| Private Service Producing | 173 | 294 | 213 | 2.4 | 2.2 | 2.2 | 2.2 |
| Government | 12 | 8 | 6 | 0.4 | 0.2 | -0.3 | -0.8 |
| Average Weekly Hours - Private Sector | 34.6 | 34.6 | 34.5 | 34.3 (Dec.'13) |
34.5 | 34.5 | 34.4 |
| Private Sector Average Hourly Earnings (%) | -0.2 | 0.2 | 0.1 | 1.7 | 2.0 | 2.1 | 1.9 |
| Unemployment Rate (%) | 5.6 | 5.8 | 5.7 | 6.7 (Nov.'13) |
6.1 | 7.4 | 8.1 |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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