With 252,000 New Jobs, December Unemployment Drops to 5.6%

The economy added 252,000 jobs in December and the unemployment rate dropped to 5.6% from November’s 5.8%, according to figures released this morning by the U.S. Bureau of Labor Statistics.

Over the year, the unemployment rate has dropped by 1.1 percentage points and the number of jobless workers has decreased by 1.7 million.

Job growth in 2014—2.95 million new jobs—was the best since 1999. But as speakers at this week’s AFL-CIO National Summit on Raising Wages pointed out, even with better job growth this year, wages remain stagnant. Sen. Elizabeth Warren (D-Mass.) and Secretary of Labor Thomas Perez outlined the defining economic fact of the past generation: productivity has gone way up and wages have stayed flat. (Read more about the summit here and here.)

The number of long-term unemployed (those jobless for 27 weeks or more) was unchanged from November at 2.8 million, and over the past 12 months, the number of long-term jobless workers has decreased by 1.1 million.

Last month’s biggest job gains were in professional and business services (52,000), construction (48,000), food services (44,000), health care (34,000) and manufacturing (17,000).

Other sectors that showed increases included financial activities (20,000), construction (20,000) and transportation and warehousing (17,000). Employment in wholesale trade and financial activities showed slight gains.

Employment in other major industries, including retail trade, mining and logging, information, warehousing and government, showed little change over the month.

Among the major worker groups, the unemployment rates in November for adult women (5%) decreased from November’s 5.2%. The rates for men (5.3%), teenagers (16.8%), blacks (10.4%), Latinos (6.5%) and whites (4.8%) showed little change in December.

Reposted from AFL-CIO NOW

Tags: , , , , ,