The national unemployment rate fell to 3.8 percent, similar to April 2000 and the lowest recorded since 1969. The unemployment rate for women also dropped to lowest since 1953 and continues to trend lower for other demographics.
A strong point in the report was the increase in hourly wages, up 2.7 percent from a year ago to $26.92. In addition, wages of nonsupervisory workers have increased at a faster rate than wages overall for the first time since 2014.
In explaining why wage growth has lagged during this expansion, economists note that millennials, who are replacing retiring baby boomers, generally make smaller starting salaries than the retiring boomers have now. Also, worker quits, which is often viewed as a sign of employee confidence in the labor market, has not been as high as in previous expansion periods, potentially due to baby boomers staying longer in the labor market. However, job switching has picked up in recent months, and they are also a source of upward pressure on wages, since workers generally receive more money in their new jobs.
The U.S. economy created more than 220,000 new jobs in May, while wages posted strong growth. Pacific Union Chief Economist Selma Hepp offers an analysis of today’s U.S. jobs report. Read more on Pacific Union’s blog at https://pacunion.us/2spPtDc
#pacificunion #selmahepp #jobs #PacUnion #bethanywpatten #homesinsanfrancisco #loveyourhome #loveyourhomesanfrancisco #sanfranciscohomesforsale