Disappointing June 2011 Jobs Report Shows US Economy Added Only 18,000 Jobs During Month

According to a disappointing ‘JUNE 2011 EMPLOYMENT SITUATION SUMMARY’ from the Department of Labor’s Bureau of Labor Statistics (BLS), the U.S. economy added only 18,000 non-farm jobs in June 2011 as employment in most major private sector industries remained stagnant over the month, government employment continued trending down, and the unemployment rate rose to 9.2 percent with 14.1 million people unemployed.

Following gains averaging 215,000 jobs per month from February 2011 through April 2011, employment has been essentially flat for the past two months. Since March 2011, the number of unemployed people has increased by 545,000, and the unemployment rate has risen by 0.4 of a percentage point. With regard to major private sector industries:

  • Professional and business services employment increased by 24,000 jobs in June 2011 and this industry has added 245,000 jobs since a recent low in March 2010.
  • Health care employment continued to trend up in June 2011 with 14,000 jobs added, and this industry has added an average of 24,000 jobs per month over the past 12 months.
  • Mining employment rose by 8,000 jobs in June 2011, and this industry has increased by 128,000 jobs since a recent low in October 2009.
  • Leisure and hospitality employment in edged up by 34,000 jobs in June 2011 and this industry has grown by 279,000 jobs since a recent low in January 2010.
  • Manufacturing and construction employment both changed little in June 2011, and job creation is these industries have been flat for at least the past two months.

On the negative side, employment in government continued to trend down over the month of June 2011 with a loss of 39,000 jobs. Federal employment declined by 14,000 jobs in June 2011 while employment in both state government and local government continued to trend down over the month and has been falling since the second half of 2008.

The June 2011 Employment Situation report is available in .PDF form at: http://www.bls.gov/news.release/pdf/empsit.pdf.

The July 2011 Employment Situation report is scheduled to be released on Friday, August 5, 2011.

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