Hidden Unemployment

Household Survey Data
The unemployment rate remained at 3.7 percent in October, and the number of unemployed persons
was little changed at 6.1 million. Over the year, the unemployment rate and the number of unemployed
persons declined by 0.4 percentage point and 449,000, respectively. (See table A-1.)
Among the major worker groups, the unemployment rates for adult men (3.5 percent), adult women
(3.4 percent), teenagers (11.9 percent), Whites (3.3 percent), Blacks (6.2 percent), Asians (3.2 percent),
and Hispanics (4.4 percent) showed little or no change in October. (See tables A-1, A-2, and A-3.)
The number of long-term unemployed (those jobless for 27 weeks or more) was essentially unchanged
at 1.4 million in October and accounted for 22.5 percent of the unemployed. (See table A-12.)
The labor force participation rate increased by 0.2 percentage point to 62.9 percent in October but has
shown little change over the year. The employment-population ratio edged up by 0.2 percentage point
to 60.6 percent in October and has increased by 0.4 percentage point over the year. (See table A-1.)
The number of persons employed part time for economic reasons (sometimes referred to as
involuntary part-time workers) was essentially unchanged at 4.6 million in October. These individuals,
who would have preferred full-time employment, were working part time because their hours had been
reduced or they were unable to find full-time jobs. (See table A-8.)
In October, 1.5 million persons were marginally attached to the labor force, little changed from a year
earlier. (Data are not seasonally adjusted.) These individuals were not in the labor force, wanted and
were available for work, and had looked for a job sometime in the prior 12 months. They were not
counted as unemployed because they had not searched for work in the 4 weeks preceding the survey.
(See table A-16.)
Among the marginally attached, there were 506,000 discouraged workers in October, about unchanged
from a year earlier. (Data are not seasonally adjusted.) Discouraged workers are persons not currently
looking for work because they believe no jobs are available for them. The remaining 984,000 persons
marginally attached to the labor force in October had not searched for work for reasons such as school
attendance or family responsibilities. (See table A-16.)
Establishment Survey Data
Total nonfarm payroll employment increased by 250,000 in October, following an average monthly
gain of 211,000 over the prior 12 months. In October, job growth occurred in health care, in
manufacturing, in construction, and in transportation and warehousing. (See table B-1.)
Health care added 36,000 jobs in October. Within the industry, employment growth occurred in
hospitals (+13,000) and in nursing and residential care facilities (+8,000). Employment in ambulatory
health care services continued to trend up (+14,000). Over the past 12 months, health care employment
grew by 323,000.
In October, employment in manufacturing increased by 32,000. Most of the increase occurred in
durable goods manufacturing, with a gain in transportation equipment (+10,000). Manufacturing has
added 296,000 jobs over the year, largely in durable goods industries.
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