Job Growth Stronger Than Expected In 2Q

Job growth in the second quarter, particularly in the business sector, was stronger than expected – with job gains averaging almost 200,000 per month over the last three months.

However, the unemployment rate in June remained at 7.6 percent – the same rate as in May – as 177,000 workers entered the labor force.

NAFCU Chief Economist David Carrier analyzed the data released by the Bureau of Labor Statistics in a new Macro Data Flash. Carrier said, “Although improvements in the  labor market are a welcome sight, the unemployment rate may remain elevated as impacts from sequestration roll through the economy.”

The business services sector experienced the most growth in June – increasing by 53,000 jobs. State government jobs decreased the most, losing 15,000 jobs, while the federal government lost 5,000 jobs and local government increased by 13,000 jobs.

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