WASHINGTON – “Nonfarm payroll employment edged up by 88,000 in April to 137.7 million,” Philip L. Rones, deputy commissioner of the U.S. Bureau of Labor Statistics, said in a statement today.
“In the first 4 months of 2007, payroll job growth averaged 129,000 per month, down from 189,000 per month in 2006.
“In April, job gains continued in some service-providing industries, while employment fell in retail trade and manufacturing. The unemployment rate, at 4.5 percent, was essentially unchanged over the month and has ranged from 4.4 to 4.6 percent since last September.
“Health care employment grew by 37,000 in April and by 362,000 over the year,” he said, while “Food services and drinking places added 25,000 jobs in April and 336,000 over the last year. Within professional and business services, employment increased in computer systems design and in management and technical consulting, [though] employment services continued to lose jobs. …
“Several industries had significant job losses in April,” Rones said.
“Employment in general merchandise stores declined by 41,000, following a gain of 30,000 in March. Credit intermediation shed 14,000 jobs in April; commercial banking accounted for over half of the loss. Manufacturing employment continued to fall in April (-19,000), reflecting losses in machinery, motor vehicles and parts and textile mills,” losses that were partly offset by “the return of 6,500 shipbuilding workers from a strike,” he said.
“Construction employment was basically flat in April, with no significant movements among the component industries,” Rones said. “Thus far in 2007, there has been essentially no net change in construction employment.” By comparison, he said, “In 2006, construction job growth averaged 11,000 per month.
“Average hourly earnings for private production and nonsupervisory workers rose by 4 cents to $17.25 in April,” he said. “Over the year, average hourly earnings increased by 3.7 percent.”
Rones’ statement, which accompanied the bureau’s release today of the Employment Situation report, is available in full at www.bls.gov.
“This isn’t yet a dramatic slowing in the labor market, but the momentum is clearly down,” James O’Sullivan, senior economist at UBS Securities LLC in Stamford, Conn., told Bloomberg News. “With the labor market weakening and gasoline prices up, the outlook for consumer spending the next few months is less positive than it was in the first quarter.”
Bonds rose after the report, on speculation the Federal Reserve may be forced to raise interest rates later this year, Bloomberg said.
Additional information, including the 24-page Employment Situation report, is available at www.bls.gov/news.release/empsit.toc.htm.
