Factory jobs fall in August
Manufacturing employment fell in August, as the industry dropped 15,000 jobs, according to the latest jobs report from the U.S. Dept. of Labor.
A decline in motor vehicles and parts (-8,000) partially offset a gain in July. Auto manufacturers laid off fewer workers for factory retooling than usual in July, and fewer workers than usual were recalled in August.
Employment in other major industries, including mining and logging, construction, retail trade, transportation and warehousing, information, and government, showed little change over the month.
Total nonfarm payroll employment rose by 96,000 in August. Since the beginning of this year, employment growth has averaged 139,000 per month, compared with an average monthly gain of 153,000 in 2011.
Responding to the jobs report, National Association of Manufacturers (NAM) president and CEO Jay Timmons said the report is the latest of many signs that Washington’s policies are simply not working.
"Despite President Obama’s stated goal of adding 1 million manufacturing jobs by 2014, manufacturing jobs declined for the first time in a year, and the overall job market is so discouraging that nearly 368,000 people have stopped looking for work in the past month. Any meaningful action on the approaching fiscal abyss has stalled, and manufacturers are feeling the effects. Massive tax increases and indiscriminate spending cuts threaten to undercut any minimal economic gains we have seen. This is unacceptable, and despite the excitement surrounding the recent political conventions, manufacturers are growing more pessimistic by the day about our economic future," Timmons said.
In a recent survey, more than 78 percent of manufacturers cited uncertainty regarding the fiscal abyss as their chief concern, and the number of manufacturers who have a negative outlook on the future of their business doubled in the past three months.
Construction employers added 1,000 jobs in August while the industry's unemployment rate fell to 11.3 percent, according to an analysis of new federal data released today by the Associated General Contractors of America. The unemployment declines come as the construction industry continues to shrink, association officials noted, adding that over 214,000 workers have left the industry since August 2011.
"While we all breathe a sigh of relief any time the sector adds jobs, these numbers are hardly cause for celebration," said Stephen E. Sandherr, the association's chief executive officer. "If it wasn't for the fact that the housing sector is finally on the mend, construction employment would be heading in the wrong direction."
INDUSTRIAL SUPPLY MAGAZINE
The May/June issue of Industrial Supply magazine features an in-depth cover story about GHX Industrial. Plus, we're featuring articles by contributing writers Dr. Bharani Nagarathnam and Frank Hurtte, as well as interviews with numerous product and distribution industry experts.
