U.S. payrolls and jobless rate both increase in August

Both payrolls and the number of people counted among those unsuccessfully looking for work increased in the United States in August.

Nonfarm payrolls grew 315,000 and the unemployment rate rose two-tenths of a point to 3.7 percent, according to the latest estimates from the U.S. Bureau of Labor Statistics.

Payroll gains for the previous two months were revised downward a total of 107,000 to 526,000 for July and 293,000 for June.

With an increase of 5.8 million over the past year, total nonfarm employment now exceeds the level in February 2020 and the onset of the COVID-19 pandemic in the U.S.

For August, 6 million people were counted among those unsuccessfully looking for work, up 344,000 from July. Of those, 1.1 million had been out of work 27 weeks or longer. Another 4.1 million people were counted among those working part-time because their hours were cut or they were unable to find full-time positions.

The labor participation rate — the portion of the population working or looking for work — rose three-tenth of a point to 62.4 percent. That remains below the 63.4 percent level in February 2020.

Payroll gains for August were spread out among industry sectors.

Professional and business services added 68,000 jobs. Employment increased 48,000 in health care, 44,000 in retail trades, 31,000 in leisure and hospitality and 22,000 in manufacturing.

The average workweek for employees on private, nonfarm payrolls shortened a tenth of an hour to 34.5 hours. The average manufacturing work week was little changed at 40.3 hours.

Average hourly earnings for employees on private, nonfarm payrolls increased 10 cents to $32.36. Over the past year, hourly earnings have increased 5.2 percent.