Greene County Democrat

Tag: Bureau of Labor Statistics

  • Newswire : November Jobs Report shows rising unemployment and worsening outlook for Black workers

    Black worker leaving job with personal materials

    By Stacy M. Brown
Black Press USA Senior National Correspondent

    The U.S. labor market showed further signs of strain in November, with new federal data revealing rising unemployment, steep losses in government jobs, and worsening conditions for Black workers, particularly Black men, according to an analysis of the latest Bureau of Labor Statistics report and a review by the National Women’s Law Center.

    Employers added 64,000 jobs nationwide in November, a modest gain following months of data disruptions caused by the federal government shutdown. The unemployment rate rose to 4.6 percent, up from 4.4 percent in September, the last month for which a full labor force survey was completed. The increase places unemployment at its highest level in four years.
    Behind the headline figures, federal employment continued to fall sharply. Since January, when Donald Trump returned to office, federal payrolls have declined by 271,000 positions. The November report reveals continued reductions tied to deferred resignation programs and layoffs that accelerated earlier in the fall, according to the Bureau of Labor Statistics.
    The rise in unemployment has been uneven, with Black workers experiencing some of the most severe impacts. Black men ages 20 and older saw their unemployment rate jump from 6.6 percent in September to 7.5 percent in November. Black women ages 20 and older recorded an unemployment rate of 7.1 percent in November, slightly lower than September’s 7.5 percent but still higher than any other racial or ethnic group.
    Long-term unemployment has also become more pronounced for Black workers. Black women who are unemployed are typically out of work for 14.5 weeks, while Black men face average unemployment spells of 12.1 weeks. By comparison, white women experience unemployment lasting about 8.6 weeks, and white men about 9.6 weeks, according to the National Women’s Law Center’s review of federal labor data.
    The November report shows that overall job growth remains concentrated in a narrow set of sectors. Healthcare added more than 46,000 jobs, while construction employment rose by 28,000. Manufacturing lost 5,000 jobs, and transportation and warehousing shed nearly 18,000 positions. Leisure and hospitality also declined, reflecting broader weakness outside a handful of growth industries.
    Federal officials cautioned that November’s data carries higher-than-usual margins of error due to the shutdown-related survey delays. Even so, economists reviewing the report noted that revisions to late summer and early fall payrolls showed fewer jobs than initially reported, reinforcing signs of a cooling labor market.
    The Bureau of Labor Statistics reported that the number of people unemployed for more than six months rose to 1.9 million in November, up from 1.7 million a year earlier. Wage growth slowed to 3.5 percent over the past year, the weakest pace since before the pandemic, adding pressure on households facing elevated prices and limited job mobility.
    The National Women’s Law Center said it will continue monitoring labor market data by race, gender, and industry to assess how job losses and prolonged unemployment affect women and families as federal employment contracts and hiring remain subdued.

  • Newswire : Inflation cools to below 3%, paving the way for potential Fed Rate Cuts

    By Stacy M. Brown
    NNPA Newswire Senior National Correspondent


    Inflation in the United States showed promising signs of easing in July, with the Consumer Price Index (CPI) falling below 3% for the first time in over three years. The unexpected slowdown in price hikes could lead the Federal Reserve to cut interest rates as early as next month, potentially easing borrowing costs and providing a boost to economic growth.

    According to the Bureau of Labor Statistics, consumer prices rose 2.9% over the past year, down from June’s 3% annual increase. On a monthly basis, prices ticked up by 0.2%, reversing a slight decline of 0.1% in the previous month. The primary driver of this increase was housing costs, with the shelter index climbing by 0.4%, accounting for nearly 90% of the overall monthly increase.

    According to FactSet consensus estimates, economists had anticipated a 0.2% monthly rise and a 3% annual increase. Meanwhile, core CPI, which strips out the volatile categories of food and energy, also rose by 0.2% from June, with its annual rate slowing to 3.2% from 3.3%—the lowest rate since April 2021. Various financial experts said these figures suggest that the inflationary surge seen earlier this year is beginning to wane.
    This latest report builds on June’s positive data, which saw the overall CPI decline for the first time since April 2020. The steady cooling of inflation has given the Federal Reserve and financial markets increasing confidence that the worst inflationary pressures may be behind us.
    However, the Federal Reserve has been cautious, holding off on reducing interest rates until there was more consistent evidence of sustained progress in curbing inflation. However, recent developments in the labor market, including a weaker-than-expected jobs report for July—where only 114,000 jobs were added, and unemployment rose to 4.3%—have shifted the landscape.
    Financial experts said those labor market weaknesses have reignited fears of a potential recession, leading to heightened expectations that the Fed could begin cutting rates as soon as next month. Reducing interest rates would bring much-needed relief to borrowers, particularly those with mortgages, credit cards, and auto loans. Analysts predict the Fed will likely start with a modest rate cut, possibly around 0.5 percentage points.
    Even with potential rate cuts on the horizon, experts predicted that high-yield savings accounts, which currently offer some of the best rates at up to 5.35%, are expected to remain attractive. Certificates of deposit (CDs), which have been popular amid the high-interest-rate environment, may still offer favorable returns. However, financial experts advise caution in locking long-term high-yield CDs ahead of potential rate reductions.
    As the Fed’s decision looms, consumers are advised to focus on paying down credit card debt to position themselves favorably for improved borrowing conditions. Mortgage rates, currently averaging 6.55% for a 30-year fixed-rate loan, have already spurred a 16% surge in refinancing demand, according to the Mortgage Bankers Association. A possible rate cut by the Fed could push mortgage rates even lower, making now a suitable time for homeowners and prospective buyers to consider refinancing.
    The automotive sector has also seen fluctuations, with the average interest rate for new vehicle loans in July at 9.72%, down from 10% in June but still higher than a year ago. The average monthly auto loan payment rose slightly to $727. As dealerships clear out inventory for new models in the coming months, consumers may find opportunities for discounts.
    President Joe Biden responded to the July inflation report, highlighting the progress made in controlling inflation. “Today’s report shows that we continue to make progress fighting inflation and lowering costs for American households. Inflation has fallen below 3%, and core inflation is at its lowest level since April 2021. While there’s still more work to do, we are seeing real progress, with wages rising faster than prices for 17 consecutive months,” Biden stated.
    The President also criticized large corporations for maintaining high prices despite record profits and emphasized ongoing efforts to reduce costs for American families. “We are taking on Big Pharma to lower prescription drug prices, cutting red tape to build more homes, and tackling price gouging to reduce everyday costs from groceries to air travel,” Biden added. He contrasted these efforts with Republican proposals, which he claimed would raise prices for middle-class families while cutting taxes for the wealthy and large corporations, vowing to continue fighting for economic progress.
    “While they try to take us back, we will fight for the future.” Biden declared.

  • Newswire : African American jobless rate hits lowest level in U.S. history

    Black employment activity

    By Stacy M. Brown, NNPA Newswire

    According to the freshly published jobs report for April, the jobless rate for African Americans in the United States maintained its steady slide to new historic levels, just one month after hitting a record low for the previous lowest level ever recorded. On Friday morning, the Bureau of Labor Statistics revealed that the unemployment rate for African Americans dropped below 5% for the first time in US history.
This is new ground for the labor force in the country.
The employment report for April showed that the unemployment rate for Black people in the United States declined by three-tenths of a percentage point, a drop that cannot be considered negligible.
The employment report for April showed that the unemployment rate for Black people in the United States decreased by three-tenths of a percentage point, which is not an insignificant drop. That represents a 4.7% decrease overall.
Meanwhile, the unemployment rate for Black men, in particular, and for Black youths, fell.
After Black women reached a historic low in joblessness in March, their unemployment rate slightly increased, according to a jobs report.
Overall, the rate of joblessness in the United States has fallen to its lowest point in half a century, at 3.4%.
The rate includes white workers, and their rate fell one-tenth of a percentage point, reaching 3.1%.
 Bharat Ramamurti, the deputy director of the White House National Economic Council, referred to it as “an incredible milestone.”