California’s Labor Market in May, by the numbers…
• The state’s unemployment rate dipped slightly to 4.2 percent (1), still hovering near California’s record low unemployment rate of 4.1 percent set in July through December 2018. The U.S. unemployment rate held at 3.6 percent in May.
• California’s 19,400 job (2) gain accounted for 26 percent of the nation’s total 75,000 job gain for the month.
• The state’s 111-month employment expansion is the second-longest on record behind the 113-month long expansion of the 1960’s.
• California has gained 3,235,900 jobs since the current economic expansion began in February 2010, averaging over 29,000 jobs gained per month over the period – far more than the 8-9,000 jobs needed each month to accommodate people entering the labor force.
• Seven of California’s 11 major industry sectors gained jobs in May. The biggest increase of 12,800 jobs came in construction, reflecting an increase in home building. That’s followed by a gain of 4,500 jobs in leisure and hospitality on the strength of the state’s tourism industry, and a 1,800 job gain in government.
1. The unemployment rate comes from a federal survey of 5,100 California households.
2. The nonfarm payroll job numbers come from a separate federal survey of 80,000 California businesses.
Data Trends about Jobs in the Economy
Total Nonfarm Payroll Jobs (Comes from a monthly survey of approximately 80,000 California businesses that estimates jobs in the economy – seasonally adjusted)
• Month-over – Total nonfarm jobs in California’s 11 major industries totaled 17,425,500 in May – a net gain of 19,400 jobs from April. This followed a revised gain of 46,000 jobs in April.
• Year-over – Total nonfarm jobs increased by 282,700 jobs (a 1.6 percent increase) from May 2018 to May 2019.
Total Farm jobs – The number of jobs in the agriculture industry decreased by 12,500 from April to 429,800. The agricultural industry has added 8,700 farm jobs since May 2018.
Data Trends about Workers in the Economy
Employment and Unemployment in California (Based on monthly federal survey of 5,100 California households which focuses on workers in the economy)
• Employed – The number of Californians holding jobs in May was 18,653,000, a decrease of 39,400 from April and up 130,000 from the employment total in May of last year.
• Unemployed – The number of unemployed Californians was 826,000 in May, a decrease of 10,400 over the month and up by 6,400 compared with May of last year
Unemployment Insurance Claims (not seasonally adjusted) In related data that figures into the state’s unemployment rate, there were 321,372 people receiving unemployment insurance benefits during the survey week in May compared to 364,431 in April and 337,974 people in May 2018. Concurrently, 38,396 people filed new claims in May which was a month-over decrease of 5,635.
Source: EDD
