Broadest Job Gains Since 1998

[Toro]

The economy is doing better.

The rising tide in U.S. jobs is lifting more boats than any time in 16 years.

The Labor Department’s diffusion index, which measures the breadth of industries expanding their payrolls, climbed to 69.7 percent in November, the highest level since January 1998. A level above 50 percent indicates more industries are hiring than firing.

Broader job gains will accelerate improvement in the labor market, as more industries participate in the recovery, said Neil Dutta, head of U.S. economics at Renaissance Macro Research LLC in New York. That should also spur faster gains in income growth, as employers compete for workers by bidding up wages.

“The labor market recovery is broadening out, and the diffusion index speaks to that,” Dutta said. “You have more people working, they’re working more hours and they’re earning more money.”

The 321,000 advance in payrolls last month exceeded the most optimistic projection in a Bloomberg survey of economists and followed a 243,000 gain in October that was stronger than previously reported, figures from the Labor Department showed today in Washington. Average hourly earnings rose 0.4 percent from the month before, the most since June of last year.

Broadest Job Gains Since 1998 Mean Faster Wage Growth Is Coming - Bloomberg

 

[Zander]

Really?...

Over 92 million Americans are not working and there are 12 million less people in the labor force since Obama........Labor Force Participation Remains at 36-Year Low CNS News

-AND- the latest "jobs report" is not so rosy after all.....

A few figures to consider: That big headline number translated into just 4,000 more working Americans. There were, at the same time, another 115,000 on the unemployment line. That disparity can be explained through an expanding labor force, which grew 119,000, though the participation rate among that group remained at 62.8 percent, which is just off the year's worst level and around a 36-year low.

But wait, there's more: The jobs that were created skewed heavily toward lower quality. Full-time jobs declined by 150,000, while part-time positions increased by 77,000.
.....Hold on Jobs report wasn t so great after all

Granted, the economy does look a little better on paper.....

PS- I've never heard of the "diffusion index" until today....

 

[Vigilante]

Curious just what the "quality" of jobs that comprised the best jobs report in nearly 3 years? Here is the answer: Retail Trade, Education and Health, and Leisure and Hospitality, as well as Administrative Assistants, cumulatively made up more than half of the jobs gains in the month. All minimum-wage or just above paying jobs. Which is why anyone who believes that wages rose at the rate the BLS would like you to believe, may want to wait until the inevitable downward revision.
The breakdown of the top job categories:

• Professional Services excluding temp help: +63K, of which administative assistants +12K, bookkeepers +16.4K
• Retail Trade: +50K
• Leisure and Hospitality: +38K, of which waiters and bartenders +26.5K
• Manufacturing: +28K
• Temp Help: +22.7K

Where The Jobs Were Secretaries Waiters Retail Education Leisure And Temp-Help Zero Hedge

 

[Toro]

2014 is shaping up to be the best year for job growth since 1999.

U.S. businesses ramped up hiring across the board in November, putting 2014 on pace to be the best year for job growth since 1999.

Nonfarm employers added a seasonally adjusted 321,000 jobs in November, the most in one month since January 2012, the Labor Department said Friday. Payroll gains in October and September were revised higher as well. The unemployment rate stood at 5.8%, unchanged from October but down from 7% in November 2013. ...

“This is another sign that says we’re taking off,” said Beth Ann Bovino, chief U.S. economist at Standard & Poor’s Ratings Services.

 

[Toro]

Really?...

Over 92 million Americans are not working and there are 12 million less people in the labor force since Obama........Labor Force Participation Remains at 36-Year Low CNS News

-AND- the latest "jobs report" is not so rosy after all.....

A few figures to consider: That big headline number translated into just 4,000 more working Americans. There were, at the same time, another 115,000 on the unemployment line. That disparity can be explained through an expanding labor force, which grew 119,000, though the participation rate among that group remained at 62.8 percent, which is just off the year's worst level and around a 36-year low.

But wait, there's more: The jobs that were created skewed heavily toward lower quality. Full-time jobs declined by 150,000, while part-time positions increased by 77,000.
.....Hold on Jobs report wasn t so great after all

Granted, the economy does look a little better on paper.....

PS- I've never heard of the "diffusion index" until today....

From your link

"Household jobs were only up 4,000, which on the surface is a disappointment. However, this follows an outsized gain of 683,000 in October and 232,000 in September, leaving the three-month moving average still up a healthy 306,000," Meyer said in a report for clients. "The monthly survey of household jobs tends to be quite noisy, suggesting caution when reacting to a given month of data."

 

[saveliberty]

Improvement does not equate to full recovery. We are improving, my point is we should have recovered years ago. Why so long? Poor policy and leadership from the top.

 

[SteadyMercury]

Improvement does not equate to full recovery.

Agreed, this economy isn't fully recovered.

But I believe Toro's thread is about the current economic trends, his position is that it is positive news in jobs growth. I saw no attempt at politicizing it like the usual cast of partisan characters Peach, EdwardBaiamonte etc. that can't look at anything without trying to paint it in angles of political attack pieces.

 

[saveliberty]

You can't get to full recovery without making progress from the bottom up. A full recovery may be different than before though. The nonparticipating numbers are very high still. That may not change a lot from here forward.

 

[SteadyMercury]

Curious just what the "quality" of jobs that comprised the best jobs report in nearly 3 years? Here is the answer: Retail Trade, Education and Health, and Leisure and Hospitality, as well as Administrative Assistants, cumulatively made up more than half of the jobs gains in the month. All minimum-wage or just above paying jobs.

Education and health are minimum wage jobs in your community? Interesting, where I live those are considered middle class jobs.

The top category "professional services" that you are describing as "administrative assistants" includes:
Accounting and bookkeeping services+ 16k
Management and technical consulting services +7k
Computer systems design and related +7k
Architectural and engineering services +5k

You think maybe either you or your source is intentionally attempting to provide misleading information? Health and education becomes min wage, all the above become administrative assistants, etc. why motivates you to try to put this spin on it?

The retail trade you are saying is min wage, BLS income for the category is available here:
Table B-3. Average hourly and weekly earnings of all employees on private nonfarm payrolls by industry sector seasonally adjusted

Retail trade = $17.13/hour (more than double min wage?)
Education and health services = $24.94
Manufacturing = $24.96
Financial Activities = $31.16
Other Services = $22.12

Given that, exactly how are you concluding over half the jobs are min wage or just over min wage?

Which is why anyone who believes that wages rose at the rate the BLS would like you to believe, may want to wait until the inevitable downward revision.

Inevitable downward revision = I see this one used a lot by people who are determined to paint GDP or jobs numbers in a bad light when the numbers don't support their position, but under scrutiny it doesn't hold up.

Employment Situation Summary
The change in total nonfarm payroll employment for September was revised from +256,000 to +271,000.
The change for October was revised from +214,000 to +243,000.

I'm pretty sure recent GDP revisions have been upward as well.

 

[saveliberty]

Teachers aides are in education, but don't make a lot. Medical billing clerks , receptionists, and aides don't make a lot either. It depends where in medicine or education you work.

Inflation is the thing to be concerned with as we enter the next phase of the economy.

 

[SteadyMercury]

Teachers aides are in education, but don't make a lot. Medical billing clerks , receptionists, and aides don't make a lot either. It depends where in medicine or education you work.

True, any sector has jobs in it that make less but given the gains from the sector as a whole the proof is in the pudding.

Hourly wages for the sectors, via BLS:

Education and health services = $24.94
Manufacturing = $24.96
Financial Activities = $31.16
Other Services = $22.12

Dismissing those sectors as min wage jobs is specious at best. It strikes me as someone motivated by politics instead of an interest in the state of our economy.

 

[saveliberty]

Nurses make what? $35-45/hr.? Sounds like the average is being pulled down by entry level jobs?

 

[Dot Com]

Improvement does not equate to full recovery. We are improving, my point is we should have recovered years ago. Why so long? Poor policy and leadership from the top.

and your opinion is based on what exactly? $10TRILLION was removed from the economy in 2008 shit stain..... errr..... my learne'd friend.

America Lost 10.2 Trillion Of Wealth In 2008 - Business Insider

 

[saveliberty]

Just another sign of a slower than normal recovery, which is policy based.

 

[SteadyMercury]

Surely you can't believe there are no other factors in pace of recovery.

 

[EdwardBaiamonte]

Improvement does not equate to full recovery. We are improving, my point is we should have recovered years ago. Why so long? Poor policy and leadership from the top.

true enough. Slowest recovery in American History, except for Great Depression. If we had switched to capitalism it would have been over in less than a year.

 

[SteadyMercury]

If we had switched to capitalism it would have been over in less than a year.

Hah and you're using your great economic expertise of being a failed author?

 

[EdwardBaiamonte]

If we had switched to capitalism it would have been over in less than a year.

Hah and you're using your great economic expertise of being a failed author?

typical liberal without IQ for substance