The Labor Department says the unemployment rate ticked up to 4.4 percent from 4.3 percent in May, which was a 16-year low. That's ahead of inflation, which is averaging about 2 percent per year, but it's not enough to reverse years of anemic wage growth and actually represents a slowdown from late 2016. The U.S. economy created 222,000 new jobs in June, well above Wall Street's forecast. "Working with President Trump and the Senate, we will deliver bold reforms this year that spur job creation, allow workers to keep more of their hard-earned paychecks, and improve the lives of all Americans for generations to come".
In June, businesses added 187,000 jobs. Employment increased in ambulatory health care services (+26,000) and hospitals (+12,000).
Health care added 37,000 jobs, and that sector has added an average of 24,000 jobs per month in the first half of 2017, compared with a monthly average of 32,000 jobs past year. It was followed by social assistance, financial activities, and mining.
"We're been creating close to 200,000 jobs a month now for more than seven years". The figure is a point lower than it was in June 2016. Both the participation and employment-population ratios went up a tenth of a point, an improvement while still remaining near lows of recent decades.
Retailers added 8,000 jobs, breaking a series of employment losses caused by a shift in shopping from brick-and-mortar stores to online. There was much less job growth in retail, manufacturing and construction. "We still think the longer term trend is whether you look at the three month average or six month average, you have job growth outpacing labor force growth by far and that's going to keep pushing the unemployment rate down despite today's report". This is well above where it was last month due both to the strength of this month's relatively good numbers and the upward revisions noted above. Still, that figure is a point lower than it was this time a year ago. In March there were reports of job cuts at Andrews Kurth Kenyon.
The number of people employed part time for economic reasons (sometimes referred to as involuntary part-time workers), at 5.3 million, changed little in June.
The number of Americans not participating in the labor force declined from 94,983,000 in May to 94,813,000 in June. And, this year, companies like General Motors have extended the summer shutdown in an attempt to remedy slowing sales, and this could further contribute to the rise in claims.
Loh said hourly earnings' 2.5 percent gain from a year earlier were disappointing, with growth slower than at the start of the year and mostly stagnant over the past several months.
The economy continues to see positive employment growth with the addition of 222,000 new jobs for the month of June, according to a federal report Friday.