New Jersey Records Eighth Straight Month of Job Gains
Unemployment Rate Falls in August
TRENTON – Preliminary estimates produced by the U.S. Bureau of Labor Statistics indicate that total nonfarm wage and salary employment in New Jersey increased in August by 20,300 to reach a seasonally adjusted level of 3,981,000. This marks the eighth consecutive monthly gain in the state’s total nonfarm job level. The August increase was split between the private (+10,200) and public (+10,100) sectors of the state’s economy. New Jersey has now recovered 468,600 jobs, or about 65 percent, of the number lost in March and April 2020 due to the coronavirus pandemic and measures taken in response to it. The state’s unemployment rate declined by 0.1 percentage point to 7.2 percent for the month. See the technical notes at the end of this release for further information about the impact of the coronavirus on this month’s employment estimates.
Based on more complete reporting from employers, previously released total nonfarm employment estimates for July were revised higher to show an over-the-month (June – July) increase of 21,200 jobs. Preliminary estimates had indicated an over-the-month gain of 14,600 jobs. The state’s July unemployment rate was unchanged, at 7.3 percent.
In August, employment increases were recorded in six out of nine major private sectors. Sectors that recorded job gains include professional and business services (+3,700), education and health services (+3,100), leisure and hospitality (+2,700), manufacturing (+1,900), construction (+500), and financial activities (+200). Sectors that recorded job losses include other services (-1,200), trade, transportation, and utilities (-500), and information (-200). Over the month, public sector employment increased by 10,100 jobs, mainly at the local level (+9,400) due to increases in local public education employment.
Preliminary BLS data for September 2021 will be released on October 21, 2021.
Technical Notes: For further information from the U.S. Bureau of Labor Statistics regarding the impact of the coronavirus pandemic on industry employment and unemployment estimates please visit: https://www.bls.gov/covid19/employment-situation-covid19-faq-august-2021.htm
Estimates of industry employment and unemployment levels are arrived at through the use of two different monthly surveys.
Industry employment data are derived through the Current Employment Statistics (CES) survey, a monthly survey of approximately 4,000 New Jersey business establishments conducted by the U.S. Bureau of Labor Statistics (BLS) of the U.S. Department of Labor, which provides estimates of employment, hours, and earnings data broken down by industry for the nation as a whole, all states and most major metropolitan areas (often referred to as the “establishment” survey).
Resident employment and unemployment data are mainly derived from the New Jersey portion of the national Current Population Survey (CPS), a household survey conducted each month by the U.S. Census Bureau under contract with BLS, which provides input to the Local Area Unemployment Statistics (LAUS) program (often referred to as the “household” survey).
Both industry and household estimates are revised each month based on additional information from updated survey reports compiled by the BLS. In addition, these estimates are benchmarked (revised) annually based on actual counts from New Jersey’s Unemployment Compensation Law administrative records and more complete data from all New Jersey employers.
Effective with the release of January 2018 estimates, the Current Employment Statistics (CES) program has converted to concurrent seasonal adjustment, which uses all available estimates, including those for the current month, in developing seasonal factors. Previously, the CES program developed seasonal factors once a year during the annual benchmark process. For more information on concurrent seasonal adjustment in the CES State and Area program, see www.bls.gov/sae/saeconcurrent.htm.