The U.S. unemployment rate increased 0.2 percentage point in June to 4.9 percent.
In May, the state’s unemployment rate was 5.2 percent, and in June 2015, the unemployment rate was 6.2 percent. The unemployment rate is derived from a federal survey of 5,500 California households.
Nonfarm jobs in California totaled 16,459,700 in June, an increase of 40,300 jobs over the month, according to a survey of businesses that is larger and less variable statistically. The survey of 58,000 California businesses measures jobs in the economy. The year-over-year change, from June 2015 to June 2016, shows an increase of 461,100 jobs (up 2.9 percent).
EMPLOYMENT AND UNEMPLOYMENT IN CALIFORNIA
The federal survey of households, done with a smaller sample than the survey of employers, shows a decrease in the number of employed people. It estimates the number of Californians holding jobs in June was 18,078,000, down 4,000 from May but up 308,000 jobs from the employment total in June of last year.
The number of people unemployed in California was 1,022,000 in June, up 27,000 from May, but down 160,000 from June of last year.
PAYROLL EMPLOYMENT DETAIL (SEASONALLY ADJUSTED)
EDD’s report on payroll employment (wage and salary jobs) in the nonfarm industries of California totaled 16,459,700 in June, a net gain of 40,300 jobs since the May survey. This followed a gain of 27,500 jobs (as revised) in May.
Seven categories gained jobs over the month, led by leisure and hospitality with a gain of 14,900 jobs and professional and business services with 11,300. The other categories adding jobs were government (9,000); educational and health services (8,200); manufacturing (3,600); financial activities (2,800); and mining and logging (100).
Four categories posted job losses over the month: trade, transportation and utilities (3,600); information (3,200); construction (2,100); and other services (700).
In a year-over-year comparison (June 2015 to June 2016), nonfarm payroll employment in California increased by 461,100 jobs (up 2.9 percent). Nine categories posted gains, two lost jobs.
Educational and health services posted the largest gains on a numerical basis, adding 105,200 jobs (a 4.3 percent increase) since June 2015. Leisure and hospitality and construction posted the largest gains by percentage, up 4.5 percent each, adding 82,200 and 32,300 jobs respectively. The other categories posting job gains were professional and business services (93,700); trade, transportation and utilities (63,800); government (62,100); financial activities (17,500); other services (7,900); and information (7,400).
Two categories posted job declines over the year. Manufacturing fell by 7,800 jobs and mining and logging fell by 3,200 jobs.
UNEMPLOYMENT INSURANCE CLAIMS (NOT SEASONALLY ADJUSTED)
In related data, the EDD reported that 345,159 people were receiving regular Unemployment Insurance benefits during the June survey week. This compares with 362,535 in May and 362,157 in June of last year. At the same time, new claims for Unemployment Insurance were 49,975 in June compared with 42,929 in May and 45,591 in June of last year.
Source EDD
