November 19, 2018 - SACRAMENTO – California’s unemployment rate remained at 4.1 percent in October – holding at a record low in a series dating back to 1976 – and the state’s employers added 36,400 nonfarm payroll jobs, according to data released today by the California Employment Development Department (EDD) from two surveys. California has now gained a total of 3,047,000 jobs since the economic expansion began in February 2010.
The U.S. unemployment rate remained at 3.7 percent, and the nation’s employers added 250,000 nonfarm payroll jobs.
In October 2017, the state’s unemployment rate was 4.5 percent. The unemployment rate is derived from a federal survey of 5,100 California households.
Nonfarm payroll jobs in California totaled 17,236,600 in October, 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, October 2017 to October 2018, shows an increase of 308,700 jobs (up 1.8 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 October was 18,637,000, an increase of 55,000 from September, and up 111,000 from the employment total in October of last year.
The number of unemployed Californians was 804,000 in October – an increase of 1,000 over the month, and down by 63,000 compared with October of last year.
PAYROLL EMPLOYMENT DETAIL (SEASONALLY ADJUSTED)
EDD’s payroll employment report (wage and salary jobs) in the nonfarm industries of California totaled 17,236,600 in October, a net gain of 36,400 jobs from September. This followed a revised gain of 10,500 jobs in September.
Month-over Job Gains
Seven of California’s eleven industry sectors added a total of 41,700 jobs in October. Professional and business services reported the largest increase with a gain of 19,100 jobs, followed by manufacturing (up 6,600 jobs) and information and government (both up 5,600 jobs). Other sectors adding jobs over the month were construction (up 3,000 jobs), leisure and hospitality (up 1,600 jobs) and mining and logging (up 200 jobs).
Month-over Job Losses
Four of California industries reported job losses over the month. Trade, transportation and utilities reported the largest decrease with a loss of 3,100 jobs, followed by educational and health services, down 1,100 jobs, other services with a 1,000 job loss and financial activities, down 100 jobs.
Year-over Job Gains
In a year-over-year comparison (October 2017 to October 2018), nonfarm payroll employment in California increased by 308,700 jobs (a 1.8 percent increase).
Nine of California’s eleven industry sectors added a total of 313,300 jobs over the year. The largest job gains were in professional and business services, up 99,400 (a 3.9 percent increase), educational and health services, up 68,600 jobs (a 2.6 percent increase) and leisure and hospitality, up 46,900 (a 2.4 percent increase). Other sectors adding jobs over the year were government, construction, trade, transportation and utilities, information, manufacturing and financial activities. Mining and logging remained unchanged over the year.
Year-over Job Losses
The only industry that posted job declines over the year was other services with a 4,600 jobs loss.
UNEMPLOYMENT INSURANCE CLAIMS (NOT SEASONALLY ADJUSTED)
In related data, the EDD reported that there were 272,542 people receiving regular Unemployment Insurance benefits during the October survey week. This compares with 284,790 in September and 299,272 in October of last year. At the same time, new claims for Unemployment Insurance were 40,032 in October, compared with 34,519 in September and 42,114 in October of last year.
Source: EDD
