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October 21, 2017 - SACRAMENTO – California’s employers added 52,200 nonfarm payroll jobs in September, while the state’s unemployment rate held steady at 5.1 percent, according to data released on Friday by the California Employment Development Department (EDD) from two surveys. California has now gained a total of 2,643,900 jobs since the economic expansion began in February 2010.

The U.S. unemployment rate decreased 0.2 percentage point in September to 4.2 percent, while U.S. nonfarm payroll employment declined by 33,000 jobs.

In September 2016, the state’s unemployment rate was 5.3 percent. The unemployment rate is derived from a federal survey of 5,100 California households.

Nonfarm payroll jobs in California totaled 16,830,500 in September, 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, September 2016 to September 2017, shows an increase of 280,300 jobs (up 1.7 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 and the year. It estimates the number of Californians holding jobs in September was 18,309,000, an increase of 113,000 from August, and up 183,000 from the employment total in September of last year.

The number of unemployed Californians was 986,000 in September – up by 13,000 over the month, but down by 37,000 compared with September of last year.

PAYROLL EMPLOYMENT DETAIL (SEASONALLY ADJUSTED)

EDD’s payroll employment report (wage and salary jobs) in the nonfarm industries of California totaled 16,830,500 in September, a net gain of 52,200 jobs from August. This followed a revised loss of 7,700 jobs in August.

Month-over Job Gains

Eight of California’s eleven industry sectors added a total of 57,100 jobs in September. Government posted the largest jobs increase with a gain of 27,000 jobs, followed by trade, transportation and utilities, up 13,000 jobs, and other services, up 5,200 jobs. Other sectors adding jobs over the month were information; leisure and hospitality; construction; educational and health services; and financial activities.

Month-over Job Losses

Three industry sectors reported job declines over the month, down a total of 4,900 jobs. Professional and business services posted the largest decrease over the month, down 3,500 jobs, followed by manufacturing, down 1,300 jobs, and mining and logging, down 100 jobs.

Year-over Job Gains

In a year-over-year comparison (September 2016 to September 2017), nonfarm payroll employment in California increased by 280,300 jobs (a 1.7 percent increase).

Eight of California’s eleven industry sectors added a total of 287,700 jobs over the year. The largest job gains were in educational and health services, up 75,300 jobs (a 3.0 percent increase), government, up 57,600 jobs (a 2.3 percent increase), and construction, up 44,600 jobs (a 5.7 percent increase). Other sectors adding jobs over the year were leisure and hospitality; trade, transportation and utilities; other services; information; and financial activities.

Year-over Job Losses

Three industry sectors posted job declines over the year, down a total of 7,400 jobs. Professional and business services fell by 3,400 jobs (down 0.1 percent), manufacturing fell by 3,000 jobs (down 0.2 percent), and mining and logging fell by 1,000 jobs (down 4.2 percent).

UNEMPLOYMENT INSURANCE CLAIMS (NOT SEASONALLY ADJUSTED)

In related data, the EDD reported that there were 312,933 people receiving regular Unemployment Insurance benefits during the September survey week. This compares with 340,670 in August and 326,253 in September of last year. At the same time, new claims for Unemployment Insurance were 39,575 in September, compared with 38,074 in August and 38,277 in September of last year.


california september unemployment graph
Source: EDD
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