U.S. Payrolls Fell By 4,000 in August
Posted on September 7, 2007The new August jobs report indicates that there was a reduction in non-farm payrolls of 4,000 jobs. The number of jobs created in June and July have also been reduced. Marketwatch reports that the job growth over the past three months has been a dismal 44,000. The economy needs to create at least 150,000 jobs per month just to absorb new workers entering the labor force.
Under the Clinton administration there was a monthly average of 236,000 new jobs. Under the Bush administration the number of jobs created rarely even reaches the 150,000 minimum needed and it has now returned to negative numbers.Adding to the sense of weakness in employment, payrolls in June and July were revised lower by a cumulative 81,000.
Job growth has averaged 44,000 over the past three months.
The separate household survey showed a decline in employment of 316,000 in August, and a 24,000 drop in unemployment. But since the size of the labor force as calculated by the Labor Department fell by 340,000, the unemployment rate held steady.