The U.S. unemployment rate remained unchanged at 3.9 percent, while the nation’s employers added 201,000 nonfarm payroll jobs.
In August 2017, the state’s unemployment rate was 4.6 percent. The unemployment rate is derived from a federal survey of 5,100 California households.
Nonfarm payroll jobs in California totaled 17,191,900 in August, according to a survey of businesses that is larger and less variable statistically. The survey of 71,000 California businesses measures jobs in the economy. The year-over change, August 2017 to August 2018, shows an increase of 348,900 jobs (up 2.1 percent).
EMPLOYMENT AND UNEMPLOYMENT IN CALIFORNIA
The federal household survey, done with a smaller sample than the survey of employers, shows an increase in the number of employed Californians over the month. It estimates the number of Californians holding jobs in August was 18,548,000, an increase of 7,000 from July, and up 85,000 from the employment total in August of last year.
The number of unemployed Californians was 803,000 in August – a decrease of 5,000 over the month, and down by 92,000 compared with August of last year.
PAYROLL EMPLOYMENT DETAIL (SEASONALLY ADJUSTED)
EDD’s payroll employment report (wage and salary jobs) in the nonfarm industries of California totaled 17,191,900 in August, a net gain of 44,800 jobs from July. This followed a revised gain of 34,400 jobs in July.
Month-over Job Gains
Eight of California’s eleven industry sectors added a total of 45,700 jobs in August. Educational and health services reported the largest increase with a gain of 18,700 jobs, followed by professional and business services (up 7,700) and government (up 6,100). Other industries with job gains were construction (5,200), trade, transportation and utilities (4,700), financial activities (1,800), leisure and hospitality (1,200) and information (300). Other services reported no change over the month.
Month-over Job Losses
Two of California industries reported job losses over the month. Manufacturing reported the largest decrease with a loss of 800 jobs and mining and logging had a decline of 100 jobs.
Year-over Job Gains
In a year-over-year comparison (August 2017 to August 2018), nonfarm payroll employment in California increased by 348,900 jobs (a 2.1 percent increase).
Nine of California’s eleven industry sectors added a total of 350,500 jobs over the year. The largest job gains were in educational and health services, up 85,700 jobs (a 3.2 percent increase), professional and business services, up 66,700 (a 2.6 percent increase) and leisure and hospitality, up 56,500 (a 2.9 percent increase). Other sectors adding jobs over the year were construction, trade, transportation and utilities, government, information, financial activities and manufacturing.
Year-over Job Losses
Two industry sectors posted job declines over the year, other services reported the largest decrease with a 1,100 job loss and mining and logging, down 500 jobs.
UNEMPLOYMENT INSURANCE CLAIMS (NOT SEASONALLY ADJUSTED)
In related data, the EDD reported that there were 306,175 people receiving regular Unemployment Insurance benefits during the August survey week. This compares with 323,594 in July and 340,670 in August of last year. At the same time, new claims for Unemployment Insurance were 35,925 in August, compared with 39,856 in July and 38,074 in August of last year.
Source: EDD
