Current Employment Statistics

Highlights

January 2005

Bureau of Labor Statistics

February 4, 2005

Bureau of Labor Statistics
2

All employees on nonfarm payrolls

1990-2005

100,000

110,000

120,000

130,000

140,000

Jan-90Jan-91Jan-92Jan-93Jan-94Jan-95Jan-96Jan-97Jan-98Jan-99Jan-00Jan-01Jan-02Jan-03Jan-04Jan-05

100,000

110,000

120,000

130,000

140,000

Seasonally adjusted, in thousands

Source: Bureau of Labor Statistics, Current Employment Statistics Survey, February 4, 2005.

Notes: Shaded areas denote recessions. Most recent 2 months ofdata are preliminary.

January 2005

Level: 132,573

Change: +146

• Total nonfarm employment increased by 146,000 in January, following a gain of 

133,000 in December. Job gains in January were concentrated in the serviceproviding industries, while manufacturing posted job losses.

• Since its most recent low point in May 2003, payroll employment has increased 

by 2.7 million and is now just above the previous peak reached in February 2001. 

• Average hourly earnings of production or nonsupervisory workers on private 

nonfarm payrolls increased by 3 cents in January to $15.88, seasonally adjusted. 

The average workweek for these workers decreased by 0.1 hour to 33.7 hours, 

seasonally adjusted.
3

Nonfarm payroll employment, before and after

March 2004 benchmark

2000-2004

129,000

129,500

130,000

130,500

131,000

131,500

132,000

132,500

133,000

Jan-00

Mar-00

May-00

Jul-00

Sep-00Nov-00

Jan-01

Mar-01

May-01

Jul-01

Sep-01Nov-01

Jan-02

Mar-02

May-02

Jul-02

Sep-02Nov-02

Jan-03

Mar-03

May-03

Jul-03

Sep-03Nov-03

Jan-04

Mar-04

May-04

Jul-04

Sep-04Nov-04

129,000

129,500

130,000

130,500

131,000

131,500

132,000

132,500

133,000

After March 2004

Benchmark

Before March 2004

Benchmark

Source: Bureau of Labor Statistics, Current Employment Statistics Survey, February 4, 2005.

Note: Most recent 2 months of data are preliminary.

Seasonally adjusted, in thousands

Old peak: March 2001

New peak: February 2001

Old trough: August 2003

New trough: May 2003

Benchmark year

Post benchmark

period (subject to 

revision in Feb 06)

• In accordance with annual practice, the establishment survey data have been 

revised to reflect comprehensive universe counts of payroll jobs, or benchmarks. 

These counts are derived principally from the unemployment insurance tax 

records for March 2004. The benchmark process resulted in revisions to all 

unadjusted data series from April 2003 forward, the time period since the last 

benchmark was last established. All seasonally adjusted data series beginning in 

2000 were subject to revision in accordance with usual practice of revising 5 

years of data. See https://www.bls.gov/web/cesbmart.htm for more information.

• The total nonfarm employment level for March 2004 was revised upward by 

156,000 on a seasonally adjusted basis. The previously published level for 

December 2004 was revised upward by 161,000 on a seasonally adjusted basis. 

On a not seasonally adjusted basis, the total nonfarm employment level for March 

was revised upward by 203,000. The March 2004 percent difference is slightly 

less than the prior 10-year average benchmark revision of 0.3 percent. Including 

the latest benchmark update, the 10-year average revision is now 0.2 percent.
4

Nonfarm payroll employment, 12 months prior to and 46 

months after the onset of recession

96

97

98

99

100

101

102

103

104

105

106

-12-10

-8-6-4-2

02468

10121416182022242628303234363840424446

96

97

98

99

100

101

102

103

104

105

106

All earlier recessions

2001-current

Source: Bureau of Labor Statistics, Current Employment Statistics Survey, February 4, 2005.

Note: Most recent 2 months of data are preliminary.

Seasonally adjusted, indexed to the start of the recession

• Employment on nonfarm payrolls has fully recovered from the 2001 recession 

and now stands slightly above the previous peak reached in February 2001. 

However, the length of recovery, 46 months, extended 2 years beyond the average 

recovery period of previous recessions.

• Nonfarm payroll employment for the most recent period, 2001-current, is indexed 

to equal 100 at the start of the recession. All earlier recessions are represented by

an average of similarly indexed data for earlier 58-month periods surrounding 

recessions. Zero represents the month when the business cycle peaked. 
5

Employment in total nonfarm and supersectors

Over-the-month change, January 2005

3

-9

-25

0

19

34

2

4

21

25

35

20

6

12

-30 -15 0 15 30 45

Natural resources and mining

Construction

Manufacturing

Wholesale trade

Retail trade

Transportation and warehousing

Utilities

Information

Financial activities

Professional and business services

Education and health services

Leisure and hospitality

Other services

Government

Seasonally adjusted, in thousands

Source: Bureau of Labor Statistics, Current Employment Statistics Survey, February 4, 2005.

Note: Data are preliminary.

Total nonfarm: 

+146

• Job gains were concentrated in the service-providing industries, while 

manufacturing continued to lose jobs.

• The largest employment increases in January were in education and health 

services, which added 35,000 jobs, and transportation and warehousing, which 

added 34,000 jobs. 

• Construction employment was little changed in January (-9,000). Since its recent 

low in March 2003, the industry added 407,000 jobs. Adverse weather in January 

may have resulted in more seasonal layoffs than usual.

• Note: With the release of January data on February 4, 2005, the Current 

Employment Statistics program (CES) began producing and publishing 

employment series for residential and nonresidential specialty trade contractors 

and construction of buildings.
6

Index of total private aggregate weekly hours

1990-2005

80

85

90

95

100

105

110

Jan-90Jan-91Jan-92Jan-93Jan-94Jan-95Jan-96Jan-97Jan-98Jan-99Jan-00Jan-01Jan-02Jan-03Jan-04Jan-05

80

90

100

110

Seasonally adjusted, 2002 = 100

Source: Bureau of Labor Statistics, Current Employment Statistics Survey, February 4, 2005.

Notes: Shaded areas denote recessions. Most recent 2 months of data are preliminary.

January 2005

Level: 101.4

Change: -0.1

Aggregate weekly hours are the product of average weekly hours and production or nonsupervisory workers.

• Although total nonfarm employment has recovered from its most recent 

downturn, the index of total private aggregate weekly hours has not. This index 

fell 5.7 points between October 2000 and May 2003 and has to date recovered by 

3.2 points.
7

-180

-140

-100

-60

-20

20

60

100

Jan-01

Mar-01

May-01

Jul-01

Sep-01Nov-01

Jan-02

Mar-02

May-02

Jul-02

Sep-02Nov-02

Jan-03

Mar-03

May-03

Jul-03

Sep-03Nov-03

Jan-04

Mar-04

May-04

Jul-04

Sep-04Nov-04

Jan-05

Source: Bureau of Labor Statistics, Current Employment Statistics Survey, February 4, 2005. 

Note: Most recent 2 months of data are preliminary.

Employment in manufacturing

Over-the-month change, 2001-05

Seasonally adjusted, in thousands

• Manufacturing employment fell by 25,000 in January. The second and third 

quarters of 2004 looked promising for manufacturing as jobs were added in 

consecutive quarters for the first time in 5 years. However, in the fourth quarter of 

2004 the industry returned to losses, which have continued into 2005.

• Both the factory workweek and overtime hours increased by 0.1 hour to 40.7 and 

4.6 hours respectively. The manufacturing workweek trended downward after 

reaching a recent high of 41.0 hours in May 2004. Month-to-month changes 

have been erratic, yet the workweek has failed to reach the May high again. 

Overtime hours have been little changed over the past year as 2004 saw weekly 

overtime equal either 4.5 or 4.6 hours each month. 

• Note: With the release of January data on February 4, 2005 the CES program

began publishing employment hours and earnings for motor vehicle parts 

manufacturing. The specific series motor vehicle parts manufacturing does not 

exist within the 2002 North American Industry Classification System; however it 

can be defined by aggregating the following series: motor vehicles, motor vehicle 

bodies and trailers, and motor vehicle parts.
8

Employment in financial activities

1990-2005

6,250

6,750

7,250

7,750

8,250

Jan-90Jan-91Jan-92Jan-93Jan-94Jan-95Jan-96Jan-97Jan-98Jan-99Jan-00Jan-01Jan-02Jan-03Jan-04Jan-05

6,250

6,750

7,250

7,750

8,250

Seasonally adjusted, in thousands

Source: Bureau of Labor Statistics, Current Employment Statistics Survey, February 4, 2005.

Notes: Shaded areas denote recessions. Most recent 2 months ofdata are preliminary.

January 2005

Level: 8,148

Change: +21

• Financial activities employment increased by 21,000 in January. Credit 

intermediation and securities, commodities, and investments contributed to the 

gain.

• Employment in credit intermediation has picked up over the last 3 months, with 

increases that have been double its prior 12-month average. This industry has 

proven over time to be interest rate sensitive, and as both short and long-term 

rates remain low, employment continues to trend upward.
9

Employment in selected professional and business services 

Over-the-month change, January 2005

-2.0

0.2

-0.3

2.8

17.5

-2.1

-5 0 5 10 15 20

Accounting and

bookkeeping services

Architectural and

engineering services

Computer systems design

and related services

Management of companies

and enterprises

Temporary help services

Business support services

Seasonally adjusted, in thousands

Source: Bureau of Labor Statistics, Current Employment Statistics Survey, February 4, 2005.

Note: Data are preliminary.

Professional and business services:

+25

• Employment in professional and business services edged up in January. 

Employment in the sector has risen by 806,000 since reaching a trough in 

December 2002; however, the sector’s employment is still below the prior peak 

level of November 2000. In 2004, professional and business services added 

514,000 jobs, which were the most jobs added in a calendar year since 1999. 

• While no single component industry had a significant gain or loss, several 

components did stray from their prior 6-month averages. Employment gains 

stalled in architectural and engineering services and computer system design and 

related services as both industries were flat over the month.

• Temporary help services added 17,500 jobs continuing its 2004 trend. The 

industry exhibited strong growth in 2004 adding 187,200 jobs to payrolls for a 

growth rate of 8.1 percent. With job gains totaling 364,700 since the April 2003 

employment trough, payroll employment in temporary help services now rests 

171,100 below the April 2000 peak.
10

Employment in health care 

Over-the-month change, January 2005

11.2

0.3

1.6

3.9

4.5

-0.6

-2 2 6 10 14

Offices of physicians

Outpatient care centers

Home health care

services

Seasonally adjusted, in thousands

Source: Bureau of Labor Statistics, Current Employment Statistics Survey, February 4, 2005.

Note: Data are preliminary.

Health care:

+15.1

Ambulatory health 

care services

Hospitals

Nursing and residential 

care facilities

• Employment in health care continued to expand in January, with an increase of 

15,000. This industry has exhibited impressive growth over the years. In the year 

ending January 2005, the industry accounted for 12.7 percent of private payroll 

growth, or 1 of every 8 jobs added to private payrolls. 

• Ambulatory health care services added about 11,000 jobs to payrolls, which is 

slightly below average for the industry. Over the last 4 months, however, aboveaverage and below-average changes about balance to an overall continuation of 

the prevailing trend.

• Note: With the release of January data on February 4, 2005 the CES program 

began publishing employment hours and earnings for health care. The specific 

series health care does not exist within the 2002 NAICS; however it can be 

defined by aggregating the following series: ambulatory health care services, 

hospitals, and nursing and residential care.