The U.S. unemployment rate increased 0.1 percentage point in December to 4.7 percent, with employers nationwide adding 156,000 nonfarm payroll jobs.
In November, the state’s unemployment rate was 5.3 percent, and in December 2015, the unemployment rate was 5.9 percent. The unemployment rate is derived from a federal survey of 5,500 California households.
Nonfarm jobs in California totaled 16,606,600 in December, according to a survey of businesses that is larger and less variable statistically. The survey of 58,000 California businesses measures jobs in the economy. The year-over change, December 2015 to December 2016, shows an increase of 332,500 jobs (up 2.0 percent).
EMPLOYMENT AND UNEMPLOYMENT IN CALIFORNIA
The federal household survey, done with a smaller sample than the survey of employers, shows a decrease in the number of employed Californians over the month, but an increase over the year. It estimates the number of Californians holding jobs in December was 18,377,000, a decrease of 39,000 from November, but up 499,000 from the employment total in December of last year.
The number of unemployed Californian’s was 1,009,000 in December – down by 29,000 over the month, and down by 115,000 compared with December of last year.
PAYROLL EMPLOYMENT DETAIL (SEASONALLY ADJUSTED)
EDD’s payroll employment report (wage and salary jobs) in the nonfarm industries of California totaled 16,606,600 in December, a net gain of 3,700 jobs from November. This followed a revised gain of 12,900 jobs in November.
Month-over Job Gains
Six of California’s eleven industry sectors added a total of 27,800 jobs in December. Trade, transportation and utilities posted the largest jobs increase, with a gain of 13,400 jobs, followed by leisure and hospitality, with a gain of 7,500 jobs. Other sectors adding jobs over the month were mining and logging; manufacturing; educational and health services; and government.
Month-over Job Losses
Five industry sectors (construction; information; financial activities; professional and business services; and other services) reported job declines over the month, down a total of 24,100 jobs. Professional and business services posted the largest decrease over the month, down by 8,600 jobs.
Year-over Job Gains
In a year-over-year comparison (December 2015 to December 2016), nonfarm payroll employment in California increased by 332,500 jobs (a 2.0 percent increase).
Nine of California’s eleven industry sectors added a total of 342,100 jobs year-over. The largest job gains on a numerical and percentage basis were in educational and health services, up 80,700 jobs (a 3.2 percent increase), and government, up 61,900 jobs (a 2.5 percent increase). Other sectors adding jobs over the year were construction; trade, transportation and utilities; information; financial activities; professional and business services; leisure and hospitality; and other services.
Year-over Lob Losses
Two industry sectors (mining and logging and manufacturing) posted job declines over the year, down a total of 9,600 jobs. Manufacturing employment fell by 7,600 jobs (down 0.6 percent), while mining and logging posted the largest decrease on percentage basis, down 7.3 percent (a decrease of 2,000 jobs).
UNEMPLOYMENT INSURANCE CLAIMS (NOT SEASONALLY ADJUSTED)
In related data, the EDD reported that there were 367,944 people receiving regular Unemployment Insurance benefits during the December survey week. This compares with 358,096 in November and 393,350 in December of last year. At the same time, new claims for Unemployment Insurance were 52,953 in December, compared with 54,252 in November and 53,248 in December of last year.
Source: EDD
