What Is the Unemployment Rate Right Now
According to the jobs report released on Nov. 4 by the Bureau of Labor Statistics, the only blip in an otherwise positive employment picture for employees was a modest increase in unemployment rate in October.
In October, a sizable number of jobs were added, and total earnings increased. Additionally, hiring increased in sectors like healthcare and manufacturing that had previously had a lack of development. Keep on reading to find out more, or contact our professionals right away.
In November, How Many Jobs Were Created?
In November, the economy created 261,000 new jobs, a modest decrease from October’s gains (263,000).
Is Unemployment Going Up or Down?
Since April, the unemployment rate has varied between 3.5% and 3.7%, remaining rather constant.
Methods for Determining the Unemployment Rate
By dividing the total number of employed persons by the total number of jobless people, the unemployment rate is determined. (Those who are employed or looking for employment are collectively referred to as the labor force.) After that, the result is multiplied by 100 to produce a percentage:
The unemployment rate is calculated as follows: number of unemployed individuals/labor force multiplied by 100
What Is the Rate of People Who Are Working?
The unemployment rate scarcely changed from the previous months: it was 62.2% in October compared to 62.3% in September. The percentage of the population that is employed or seeking employment is known as the labor force participation rate.
The labor force is divided by the entire population that is eligible for employment to determine the rate. (The term “civilian noninstitutional population,” which refers to those ages 16 and older who are not in the military or incarcerated, is used by the Bureau of Labor Statistics to describe the entire population that is eligible to work.) A percentage is obtained by multiplying the result by 100:
- The labor force participation rate is equal to the labor force / civilian noninstitutional population multiplied by 100.
- According to BLS data, the labor force participation rate has fluctuated between 60.2% in April 2020 and 66.5% in June 2003 since October 2002.
How’s the Job Market Doing These Days?
There are still prospects for job seekers in a variety of areas, according to two important indicators: job openings and quit rate. All employment sectors reported minor changes in the number of layoffs, and the rate was almost unchanged from previous months.
What Findings Are Presented in the Report on Labor Turnover and Job Openings?
According to the most recent Job Opportunities and Labor Turnover Summary, or JOLTS, there were 10.3 million job openings in October, up from the 10.7 million recorded for September.
Finance and insurance as well as “other” sectors saw the biggest increase in job vacancies in October. Manufacturing of non-durable items and all governmental levels (state, municipal, and federal) saw a decline in job vacancies.
What Is the Rate of Quitting?
A major indicator of the strength of employment prospects, according to economists, is the quit rate. Which the JOLTS report also revealed stayed stable in November at 2.6% (identical to the previous three months). This is because resigning indicates that workers feel secure switching jobs.
The real estate, renting, and leasing industries saw an increase in quit rates, indicating that there may be more migration among employees in this industry. In three sectors where leave rates dropped, such as transportation, warehousing, and utilities as well as durable goods manufacture, the opposite is probably true.
Are Salaries Rising?
Additionally, wages are very favorable to workers. The Bureau of Labor Statistics reported that during the course of a year ending in September 2022, wages and salaries climbed 5.1%, according to another quarterly report that was released on October 28. Wages and salaries rose by 4.2% in the year prior, which ended in September 2021.
Will Unemployment Increase?
While the employment landscape appears to be improving overall, for the time being, several projections indicate job losses in 2023. The Federal Reserve predicted in September that the unemployment rate will be 4.4% in 2023. While this is happening, Bank of America predicts an even higher unemployment rate of 5.5%.
To lower inflation, which is predicted to eventually result in a higher unemployment rate, the Federal Open Market Committee increased its federal fund’s rate in November.
When Will There Be Another Jobs Report?
On December 2, 2022, the following jobs report will be released and will include data from November.