FOR DELIVERY: 9:30 A.M., E.D.T.
                            FRIDAY, OCTOBER 8, 1999

Advance copies of this statement are made available to the
press under lock-up conditions with the explicit
understanding that the data are embargoed until 8:30 a.m.
Eastern Daylight Time.

Statement of

Katharine G. Abraham
Commissioner
Bureau of Labor Statistics

Friday, October 8, 1999



Good morning.  I am pleased to have this opportunity to
discuss the September employment and unemployment estimates
that we released this morning.
The unemployment rate was unchanged in September at 4.2
percent; it has been either 4.2 or 4.3 percent each month
since March.  Nonfarm payroll employment, as measured by our
establishment survey, was essentially unchanged in
September.  Employment in some areas and industries was held
down by Hurricane Floyd, but employment growth was weak even
in those areas and industries largely unaffected by the
hurricane.
In the goods-producing sector, employment in
construction rose by 21,000 in September, nearly offsetting
the loss in the prior month.  Manufacturing employment
declined by 21,000 in September.  The average monthly loss
of factory jobs in the third quarter (-15,000) was
considerably less than the average loss in the first half of
the year (-36,000).  Employment declined over the month in
rubber and plastics products (-7,000), industrial machinery
(-6,000), aircraft (-6,000), apparel (-5,000), primary
metals (-4,000), and textiles (-3,000).  Motor vehicle
employment also declined in September, but was up for the
quarter, and electrical equipment was up in September as
well as for the quarter.  A large increase in food
processing employment in September only partly reversed an
August decline.  The factory workweek and factory overtime
were unchanged in September, at 41.8 and 4.7 hours,
respectively.
There was no net job growth in the service-producing
sector (after seasonal adjustment).  The services industry
added only 39,000 jobs in September, well below the average
monthly gain of 126,000 for the prior 12 months.  Business
services employment was up slightly in September, as
continued strength in computer and data processing services
was partly offset by a hurricane-related decline in help
supply services.  (In the establishment survey, persons who
are on unpaid absence from work for the entire reference
period are not counted as employed.)  Job growth in health
services was a modest 8,000 in September, with hospitals
contributing much of the increase.  Engineering and
management services continued to add jobs, but the increase
of 8,000 was less than half its monthly average for the
prior 12 months.  On the other hand, above-average gains
occurred in motion pictures and educational services.
Amusements and recreation lost 15,000 jobs, nearly reversing
the advance of the prior month; some of September’s job loss
likely was due to Hurricane Floyd.
Retail trade employment declined by 49,000 in
September.  Employment declines in eating and drinking
places, and in other types of retail establishments,
resulted in part from business closings related to Hurricane
Floyd. Department stores lost 17,000 jobs, the fifth
consecutive loss.  Automobile dealers and furniture stores
added 2,000 and 3,000 jobs, respectively, in September,
increases that were below their average monthly gains for
the year.
Wholesale trade added 7,000 jobs in September, compared
with an average monthly gain of 17,000 this year through
August.  Employment in durable goods distribution failed to
grow for the first time in over 6 years.
Finance employment decreased for the first time in over
4 years, due to a decline in its mortgage banking component.
Employment in both insurance and real estate was little
changed.
Transportation and public utilities added 20,000 jobs
in September.  Nearly all of the gain was in trucking and
air transportation.  State and local government employment
edged down in September, following large gains in August.
Average hourly earnings of private production or
nonsupervisory workers rose by 7 cents in September to
$13.37, following a rise of 2 cents in August.  Over the
year, average hourly earnings have risen by 3.8 percent.
	Turning now to the data from our survey of households,
the unemployment rate was unchanged in September at 4.2
percent and has remained under 4.4 percent since March.  The
rates for most of the major demographic groups (adult men,
adult women, whites, blacks, and Hispanics) have been fairly
stable in recent months, although the rate for teenagers has
ticked upward.
Civilian employment changed little over the month, and
the employment-population ratio remained at 64.1 percent.
The number of persons who held more than one job in
September totaled 7.6 million (not seasonally adjusted).
These multiple jobholders made up 5.7 percent of the total
employed, down slightly from 6.0 percent a year earlier.
In summary, employment was essentially unchanged over
the month, and the unemployment rate remained at 4.2
percent.	My colleagues and I now would be glad to answer
your questions.

CPS Publications - Historical Monthly Employment Reports: 1999 Page

CPS Main Page