Although recent data from the Bureau of Labor Statistics (BLS) indicate a slight decline in overall employment in July with an uptick in August, there are some sectors that showed more substantial increases. For example, construction employment continued to trend up, gaining 25,000 in July and 34,000 in August, with an average monthly gain over the past year of 19,000. Specialty trade contractors were also up 19,000 in July, coinciding with an increase in annual rates in residential building permits and housing starts, possibly influenced by a decrease in the average 30-year fixed mortgage rate in the same month. This is an improvement since the June decrease in new residential sales.
Earlier this year, the February BLS report revealed a similar gain of 23,000 in the construction industry, but with heavy construction and civil engineering leading the way. After a steady decline in the previous three months, both new residential sales and the 30-year fixed mortgage rate increased in January. Subsequently, residential building permits and housing starts decreased.
Transportation and warehousing jobs rose in July (+14,000) and August (+8,000), which is slightly lower than the increase of 20,000 in February. After a big January loss of 29,000, however, it’s a continuing upward trend.
Other industries that saw an increase in employment include manufacturing, wholesale and retail trade, private education and health services, leisure and hospitality, and government. Mining and logging remained virtually flat in both reports.
In general, nonfarm payroll employment was up by 114,000 in July and 142,000 in August, with healthcare, construction and transportation and warehousing leading the way. This compares with a February increase of 275,000, with healthcare, government, food services, social assistance, transportation and warehousing at the top of the chart.
Along with an upturn in employment came a rise in private-sector pay of 0.2% in July—a 0.1 percentage-point increase over the rise in February—and 0.4% in August. Over the past 12 months, average hourly earnings increased 3.8%, with the average weekly hours worked dropping slightly to 34.3.
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Lori Lovely is an award-winning writer and editor in central Indiana. She writes on technical topics, heavy equipment, automotive, motorsports, energy, water and wastewater, animals, real estate, home improvement, gardening and more. Reach her at: [email protected]