Charting the U.S. Labor 

Market in 2005

U.S. Department of Labor

Bureau of Labor Statistics

June 2006
Charting the U.S. labor market in 2005

• This report includes graphs and text describing the U.S. labor market in 2005. 

Highlights include information about educational attainment, race and Hispanic 

ethnicity, women, and families.

• These data were compiled from several statistical programs of the Bureau of 

Labor Statistics and are presented together to give an overview of the 

employment and unemployment situation for the nation that presents both 

recent data and historical trends over time. 

Table of contents

Section 1. Major indicators

Section 2. Education

Section 3. Employment relationships

Section 4. Race and Hispanic ethnicity

Section 5. Women

Section 6. Families
Section 1

Major Indicators
Chart 1-1. More than half of the population 16 years of age 

and over works full time

Employed full time

(116.4 million)

Others not in 

the labor force

(75.2 million) Employed part time for 

economic reasons 

(4.4 million)

Marginally attached workers,

including discouraged workers

(1.5 million)

Unemployed (7.6 million)

SOURCE: Bureau of Labor Statistics

Employed part time for 

noneconomic reasons

(21.0 million)

2005

Chart 1-1. More than half of the population 16 years of age 

and over works full time

• More than half of the 226 million persons in the civilian noninstitutional 

working-age population in 2005 were employed full time. An additional 11 

percent were working part time, with a large majority of these workers 

preferring a part-time schedule.

• Of the third of the population not in the labor force (neither working nor 

looking for work), a relatively small number (1.5 million) were classified as 

"marginally attached" workers—persons who want to work, are available for 

work, and had looked for a job in the past year but are not currently looking 

either because they are discouraged about job prospects or because certain 

conditions, like family responsibilities, impede their entry into the job market.

• The vast majority of persons not in the labor force do not want to work.
0

2

4

6

8

10

12

1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004

Chart 1-2. The unemployment rate is down from its most 

recent peak in June 2003

NOTE: Shaded areas represent recessions. Data are seasonally adjusted.

SOURCE: Bureau of Labor Statistics

Percent

Chart 1-2. The unemployment rate is down from its most 

recent peak in June 2003

• The unemployment rate rose from 4.3 percent at the onset of the most recent 

recession in March 2001 (as designated by the National Bureau of Economic 

Research) to 6.3 percent in June 2003. It had declined to 4.9 percent by 

December 2005.

• At the onset of the recession in March 2001, some 11 percent of unemployed 

persons had been looking for work for 27 weeks or longer. This share of longterm unemployed rose to nearly 24 percent of all unemployed persons by 

March 2004 before declining to about 18 percent by the end of 2005.
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W.VA.

D.C.

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MICH.

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N.Y.

N.J.

VT.

CONN.

MASS. N.H.

R.I.

MAINE

New England

Middle

Atlantic

East

North Central

West

North Central

Pacific

Mountain

South Central

West

East

South Central

South 

Atlantic

 Unemployment rate

 6.5% or higher

 5.5% - 6.4%

 4.5% - 5.4%

 3.5% - 4.4%

 3.4% or lower

Chart 1-3. In 2005, unemployment rates were lowest in the 

South Atlantic States and highest in the East North Central 

States

NOTE: Data are 2005 annual averages.

SOURCE: Bureau of Labor Statistics

• In 2005, Hawaii reported the lowest unemployment rate among the states, 2.8 

percent. North Dakota had the next lowest rate, 3.4 percent, closely followed 

by Vermont and Virginia, 3.5 percent each. The highest rates were recorded in 

Mississippi and Louisiana (7.9 and 7.1 percent, respectively), reflecting the 

impact of the Gulf Coast hurricanes.

• The largest unemployment rate declines from 2004 to 2005 occurred in 

Alabama and Oregon (-1.2 percentage points each). 

• The largest jobless rate increases for 2005 were recorded by the two states most 

affected by the Gulf Coast hurricanes: Mississippi (+1.6 percentage points) and 

Louisiana (+1.4 percentage points).

Chart 1-3. In 2005, unemployment rates were lowest in the 

South Atlantic States and highest in the East North Central 

States
Chart 1-4. The unemployment rate for Hurricane Katrina 

evacuees was much lower for those who were living in their 

August (pre-Katrina) residence than for those who were not

12.4

5.6

20.7

0.0

5.0

10.0

15.0

20.0

25.0

Total evacuees December 2005 residence same

as in August 2005

December 2005 residence

different than in August 2005

Percent

December 2005 unemployment rates for persons who evacuated from their 

August 2005 residence, even temporarily, due to Hurricane Katrina

NOTE: Data refer to persons in the civilian noninstitutional population age 16 and over who resided in households that were 

eligible to be selected for the Current Population Survey. These data are not representative of the total evacuee population because 

they do not include children or people residing in shelters, hotels, places of worship, or other units outside the scope of the survey. 

SOURCE: Bureau of Labor Statistics

Chart 1-4. The unemployment rate for Hurricane Katrina 

evacuees was much lower for those who were living in their 

August (pre-Katrina) residence than for those who were not

• Information gathered in December 2005 showed that about 1.1 million persons 

age 16 and over had evacuated from their August residence, even temporarily, 

due to Hurricane Katrina. About 600,000 of these evacuees were living in their 

August 2005 residences when surveyed in December 2005; the remainder were 

living in other residential units covered in the survey. 

• Monthly data collected through special questions on Katrina evacuees do not 

account for all persons who evacuated; those living outside of the scope of the 

survey—such as persons living in hotels or shelters—are not included. The 

questions were asked of persons in the household survey sample throughout the 

country, since some evacuees relocated far from the storm-affected areas. 

• The unemployment rate for persons identified as evacuees was 12.4 percent. 

The rate for evacuees who were again living in their August (pre-Katrina) 

homes (5.6 percent) was much lower than for those who were not (20.7 

percent).
Chart 1-5. From the onset of the recession to the end of 2005, 

labor force participation rates were down, except among 

older workers

-1.2

-5.2

-1.2 -1.5

4.8

-6.0

-4.0

-2.0

0.0

2.0

4.0

6.0

Total, 16 years and

over

Both sexes, 16 to

24

Men, 25 to 54 Women, 25 to 54 Both sexes, 55

years and over

Percentage points

Change in labor force participation rates (seasonally adjusted),

March 2001 to December 2005

NOTE: As defined by the National Bureau of Economic Research (NBER), the recession lasted from March to November 2001.

SOURCE: Bureau of Labor Statistics

Chart 1-5. From the onset of the recession to the end of 2005, 

labor force participation rates were down, except among 

older workers

• The participation rate of youth 16 to 24 years old fell by about 5 percentage 

points between March 2001 and December 2005. The rates for men and 

women ages 25 to 54 years also were down over that period.

• The labor force participation rate for persons 55 years and over has trended up 

since the early 1990s. From the onset of the recession in March 2001 to 

December 2005, the rate increased by nearly 5 percentage points.

• While men ages 55 and older are more likely than their female counterparts to 

participate in the labor force, the increase in the participation rate for women 

was slightly larger than that for men over the period.
Chart 1-6. The percentage of the population that is employed 

has trended up since September 2003

Percent

54

56

58

60

62

64

66

1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004

NOTE: Shaded areas represent recessions. Data are seasonally adjusted.

SOURCE: Bureau of Labor Statistics

Chart 1-6. The percentage of the population that is employed 

has trended up since September 2003

• The proportion of the population 16 years and over that was employed fell 

from a pre-recession peak of 64.7 percent in April 2000 to 62.0 percent in 

September 2003. The ratio has gradually edged up since then. 

• While the employment-population ratio rose to 62.8 percent by the second half 

of 2005, it is still well below its pre-recession peak.
Employment in thousands

60,000

70,000

80,000

90,000

100,000

110,000

120,000

130,000

140,000

1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004

Chart 1-7. Nonfarm payroll employment has risen by 4.6 

million since its recent low in August 2003

NOTE: Shaded areas represent recessions. Data are seasonally adjusted.

SOURCE: Bureau of Labor Statistics

Chart 1-7. Nonfarm payroll employment has risen by 4.6 

million since its recent low in August 2003

• Nonfarm payroll employment fell by about 2.7 million from the beginning of 

the recession in March 2001 to August 2003. 

• Between August 2003 and December 2005, payroll employment increased by 

about 4.6 million, with large gains in construction, professional and business 

services, health care, and leisure and hospitality.
NOTE: Shaded area represents recession. Data are seasonally adjusted. 

SOURCE: Bureau of Labor Statistics

Employment in thousands

104,000

105,000

106,000

107,000

108,000

109,000

110,000

111,000

112,000

113,000

114,000

1999 2000 2001 2002 2003 2004 2005

Chart 1-8. Private payroll employment began increasing in 

August 2003

Chart 1-8. Private payroll employment began increasing in 

August 2003

• Private nonfarm employment fell sharply during 2001. The pace of 

employment declines slowed markedly in 2002. 

• Private payroll employment began to increase in August 2003, and by 

December 2005, about 4.3 million private sector jobs had been added.
306

-11

910

1,145

220

-96

-14

205

401

195

662

74

-146

728

-200 0 200 400 600 800 1,000 1,200

Government 

Other services 

Leisure and hospitality 

Education and health services 

Professional and business services 

Financial activities 

Information 

Utilities 

Transportation and warehousing 

Retail trade 

Wholesale trade 

Manufacturing 

Construction 

Natural resources and mining 

Employment change (seasonally adjusted, in thousands),

August 2003 to December 2005

Chart 1-9. Employment rose in most industries from August 

2003 to December 2005

SOURCE: Bureau of Labor Statistics

Chart 1-9. Employment rose in most industries from August 

2003 to December 2005

• The job growth that began in August 2003 was fairly widespread among the 

major industry sectors. Employment gains in professional and business 

services, in education and health, and in leisure and hospitality accounted for 

about 60 percent of job growth over the time period. 

• A robust housing market contributed to employment gains in construction and 

in building-related industries.

• Between August 2003 and December 2005, employment declined in 

manufacturing and in information.
NOTE: Shaded area represents recession. Data are seasonally adjusted.

SOURCE: Bureau of Labor Statistics

Employment in thousands

13,000

13,500

14,000

14,500

15,000

15,500

16,000

16,500

17,000

17,500

18,000

1999 2000 2001 2002 2003 2004 2005

Chart 1-10. Manufacturing employment has edged down 

slightly since early 2004, following 3 years of sharp declines

• From the beginning of the recession in March 2001 through February 2004, 

manufacturing lost 2.7 million jobs.

• From February 2004 to December 2005, the number of factory workers edged 

down by 58,000.

• At 40.7 hours per week in 2005, the factory workweek remains below the 41.3 

hour manufacturing workweek that prevailed in 2000.

Chart 1-10. Manufacturing employment has edged down 

slightly since early 2004, following 3 years of sharp declines
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D.C.

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New England

Middle

Atlantic

East

North Central

West

North Central

Pacific

Mountain

South Central

West

East

South Central

South 

Atlantic

Employment change

 2.5% or above

 1.6% - 2.4%

 1.0% - 1.5%

 0.9% or below

Chart 1-11. Nonfarm employment rose across most of the 

Nation in 2005

NOTE: Percent change in nonfarm payroll employment from 2004 to 2005, annual averages.

SOURCE: Bureau of Labor Statistics

• Employment increased in 48 states and the District of Columbia, with 37 states 

and the District posting increases of 1.0 percent or more over the year. 

Employment was down in two states and unchanged in one (Maine).

• The largest over-the-year increases in employment occurred in Nevada (6.2 

percent) and Arizona (5.3 percent).

• Reflecting the impact of the Gulf Coast hurricanes, Louisiana posted the largest 

percentage decrease (-2.5 percent) in employment from 2004 to 2005. 

Michigan registered the only other decrease (-0.2 percent).

Chart 1-11. Nonfarm employment rose across most of the 

Nation in 2005
0

1

2

3

4

5

6

7

2001 2002 2003 2004 2005

Chart 1-12. The job openings rate generally has moved in the 

opposite direction of the unemployment rate

Unemployment rate

Job openings rate

NOTE: Shaded area represents recession. Data are seasonally adjusted.

SOURCE: Bureau of Labor Statistics

Percent

Chart 1-12. The job openings rate generally has moved in the 

opposite direction of the unemployment rate

• The job openings rate (the number of job openings as a percent of employment 

plus job openings) decreased during the 2001 recession. As the job openings 

rate edged up from mid-2003 forward, the unemployment rate declined.

• Neither the unemployment rate nor the job openings rate has returned to prerecession levels.
3,000

3,500

4,000

4,500

5,000

5,500

6,000

2001 2002 2003 2004 2005

Chart 1-13. Since early 2003, the number of hires generally 

has exceeded separations

Hires

Separations

NOTE: Shaded area represents recession. Data are seasonally adjusted.

SOURCE: Bureau of Labor Statistics

Thousands

Chart 1-13. Since early 2003, the number of hires generally 

has exceeded separations

• The average number of monthly hires and separations rose through 2003 and 

2004, but showed little net change in 2005, with an average of 4.8 million hires 

and 4.5 million separations per month.

• The number of hires and separations each month demonstrates that the amount 

of turnover in the labor market dwarfs net changes in employment.
0

500

1,000

1,500

2,000

2,500

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005

Chart 1-14. The number of mass layoff events rose sharply in 

September 2005 after the Gulf Coast hurricanes

NOTE: Shaded area represents recession. Data are seasonally adjusted.

SOURCE: Bureau of Labor Statistics

Number of mass layoff events

Chart 1-14. The number of mass layoff events rose sharply in 

September 2005 after the Gulf Coast hurricanes

• A mass layoff event occurs when fifty or more initial claims for unemployment 

insurance benefits are filed against an establishment during a 5-week period.

• The number of mass layoff events rose sharply in September 2005 in the 

aftermath of the Gulf Coast hurricanes, with 2,219 layoff actions affecting 

nearly 284,000 workers. The number of layoff actions had been on a declining 

trend since September 2001.
NOTE: Data refer to extended mass layoffs (private sector nonfarm employers indicated that 50 or more workers were separated 

from their jobs for at least 31 days) in which the employer reports that work was relocated. These movements of work were to other 

U.S. locations or to locations outside of the U.S., and they occurred either within the same company or to other companies.

SOURCE: Bureau of Labor Statistics

Chart 1-15. In 2005, out-of-country relocations accounted for 

about one-third of workers separated from their jobs due to 

the relocation of work

Separations due to out-ofcountry relocations

(34.2 percent)

2005

Separations due to 

domestic relocations

(63.7 percent)

Place of relocation 

unknown

(2.1 percent)

Chart 1-15. In 2005, out-of-country relocations accounted for 

about one-third of workers separated from their jobs due to 

the relocation of work

• Of the 33,255 workers separated from their jobs in 2005 due to the relocation 

of work, the separation of about a third (11,375 workers) was associated with 

the movement of work outside of the country. Domestic relocation—both 

within the company and to other companies—affected 21,186 workers.

• Extended mass layoffs and separations associated with the movement of work, 

domestically or overseas, reflect job loss where at least 50 people filed for 

unemployment insurance during a 5-week period and the layoff lasted more 

than 30 days. The extended mass layoff statistics and movement of work 

measures, therefore, do not reflect layoffs of less than 50 workers at these 

companies, nor does the program capture layoffs occurring at establishments 

with fewer than 50 workers. Moreover, these data do not cover situations in 

which firms initiate or transfer work to new locations when there are no 

layoffs involved.
0

2

4

6

8

10

12

1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004

Chart 1-16. Consumer prices usually increase more slowly 

than private employers' compensation costs

Percent change from previous year

Consumer Price Index

Employment Cost Index

NOTE: The Employment Cost Index is for private-sector workers. The Consumer Price Index is the CPI-U-RS research series. 

SOURCE: Bureau of Labor Statistics

Chart 1-16. Consumer prices usually increase more slowly 

than private employers' compensation costs

• The Employment Cost Index (ECI) measures the costs to employers of both 

employee wages and benefits, and the Consumer Price Index (CPI) measures 

the average change in prices paid by consumers for a variety of goods and 

services. 

• Changes in the ECI and the CPI have tracked fairly closely over time, though 

increases in the CPI tend to be smaller than those for the ECI. 

• In 2005, however, increases in consumer prices exceeded growth in private 

employers' compensation costs.
0

3

6

9

12

15

1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004

Chart 1-17. Increases in employer costs for benefits have 

outpaced gains in wages and salaries since 2000

Percent change from previous year

Benefits

Wages and salaries

NOTE: The Employment Cost Index components are for private-sector workers. 

SOURCE: Bureau of Labor Statistics

Chart 1-17. Increases in employer costs for benefits have 

outpaced gains in wages and salaries since 2000

• In the private sector, benefit costs rose 4.1 percent for the year ending 

December 2005, compared with an increase of 2.5 percent for wages and 

salaries. 

• The cost of benefits typically has risen at a faster pace than wages; although, 

for a period in the late-1990s, growth in the cost of benefits fell below that of 

wages.
Percent per year

1.4 1.5

2.5

3.3

-0.5

0.5

1.5

2.5

3.5

4.5

5.5

1979-1990 1990-1995 1995-2000 2000-2005

Chart 1-18. Labor productivity began to accelerate in the 

1990s, led by gains in manufacturing

SOURCE: Bureau of Labor Statistics

Output per hour of all persons, nonfarm business 

sector, 1979-2005

Output per hour of all persons, manufacturing 

sector, 1987-2005

Percent per year

1.7

3.4

4.1

5.0

-0.5

0.5

1.5

2.5

3.5

4.5

5.5

1987-1990 1990-1995 1995-2000 2000-2005

• Labor productivity relates changes in the real production of goods and services 

to changes in the hours of all persons working in a sector.

• Since 1990, labor productivity growth has averaged 2.5 percent per year in the 

total nonfarm business sector and 4.2 percent per year in manufacturing.

• In contrast to earlier long economic expansions, the expansion of the 1990s 

was marked by higher productivity growth in the latter part of the cycle. 

Nonfarm business productivity grew by 1.5 percent per year from 1990 to 1995 

and by 2.5 percent in the 1995 to 2000 period.

• Higher rates of productivity growth have continued into the current period. 

Between the first quarter of 2001 and the fourth quarter of 2005, labor 

productivity grew by 3.4 percent in nonfarm businesses and by 5.4 percent in 

manufacturing (seasonally adjusted annual rates).

Chart 1-18. Labor productivity began to accelerate in the 

1990s, led by gains in manufacturing
SOURCE: Bureau of Labor Statistics

Chart 1-19. Six of the 10 industries projected to grow the 

fastest are health related and one is computer related

47

47

49

50

50

55

61

68

70

79

0 10 20 30 40 50 60 70 80

Percent change in wage and salary employment, projected 2004-2014

Educational support services, private

Home health care services

Software publishers

Management, scientific, and technical consulting services

Community care facilities for the elderly

Outpatient care centers, except mental health & substance abuse

Residential mental health and substance abuse facilities

Offices of all other health practitioners

Residential mental retardation facilities

Facilities support services

Chart 1-19. Six of the 10 industries projected to grow the 

fastest are health related and one is computer related

• Private educational support services, projected to be the fastest growing 

industry over the 2004-2014 period, includes educational consulting, guidance 

counseling, and testing organizations.

• Projected employment growth in health care industries is driven by a growing 

and aging population that will demand more medical services, and by medical 

advances that create more types of treatment. Six of the 10 industries 

projected to grow the fastest are health related, including community care 

facilities for the elderly and residential care facilities for mental health and 

substance abuse.

• Information technology will continue to transform the economy and spur job 

growth in computer-related industries. Software publishing employment has 

more than doubled since 1990; as firms continue to invest heavily in 

information technology, employment will continue to grow.
SOURCE: Bureau of Labor Statistics

41

43

43

43

44

48

50

52

55

56

0 10 20 30 40 50 60

Home health aides

Network systems and data communications analysts

Medical assistants

Physician assistants

Computer software engineers, applications

Physical therapist assistants

Dental assistants

Computer software engineers, systems software

Dental hygienists

Personal and home care aides

Chart 1-20. Seven of the 10 occupations projected to grow 

the fastest are health related and three are computer related

Percent change in wage and salary employment, projected 2004-2014

Chart 1-20. Seven of the 10 occupations projected to grow 

the fastest are health related and three are computer related

• Health care occupations are expected to grow rapidly over the 2004-2014 

period as a growing and aging population continues to demand a high level of 

quality health care services. Health care aide and assistant occupations are 

projected to grow especially quickly as organizations try to control costs. 

Aides and assistants are expected to assume some duties formerly done by 

more highly paid health care workers, such as dentists, physicians, and 

therapists. 

• Computer occupations also are expected to grow rapidly as new technologies 

develop and as computer use expands. However, growth is projected to be 

slower than it was in the previous decade due to offshore outsourcing of work 

and because the maturing computer industry is not expected to grow quite so 

rapidly as in the past.
Section 2

Education
NOTE: Data are from the March 1970-2005 Current Population Survey and are for persons age 25-64. Beginning in 1992, data 

are based on highest diploma or degree received; prior to this time, data were based on years of school completed.

SOURCE: Bureau of Labor Statistics

Chart 2-1. The educational attainment of the labor force has 

improved over time

1970 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003

Percent of labor force

Bachelor's degree and higher 

Some college or associate degree 

High school graduates, no college

Less than a high school diploma

0

20

40

60

80

100

Chart 2-1. The educational attainment of the labor force has 

improved over time

• Education is an important determinant of labor market outcomes. The more 

education a person has, the more likely he or she is to be in the labor force and 

the less likely he or she is to be unemployed. 

• The proportion of persons 25 to 64 years old with some college (or an 

associate degree) more than doubled between 1970 and 2005. The share with 

a bachelor’s degree and higher also more than doubled over the period. In 

contrast, the share of the labor force with less than a high school diploma 

declined markedly. 
Chart 2-2. The gap between the unemployment rates of those 

without a high school diploma and those who have completed 

college is wider today than it was in 1970

0

4

8

12

16

1970 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003

Percent

Less than a high school diploma

High school graduates, no college

Bachelor's degree and higher 

Some college or associate degree

NOTE: Data are from the March 1970-2005 Current Population Survey and are for persons age 25-64. Beginning in 1992, data 

are based on highest diploma or degree received; prior to this time, data were based on years of school completed.

SOURCE: Bureau of Labor Statistics

Chart 2-2. The gap between the unemployment rates of those 

without a high school diploma and those who have completed 

college is wider today than it was in 1970

• In March 2005, the unemployment rate for persons 25 to 64 years old without 

a high school diploma was 9.0 percent, while the jobless rate for college 

graduates was 2.3 percent. This compares with unemployment rates of 4.6 and 

1.3 percent, respectively, in 1970.

• The unemployment rate for high school dropouts trended upward until the 

early 1980s. Although there has been some long-term improvement since 

then, the rate remains considerably higher than in 1970.

• In contrast, the jobless rate for college graduates has held fairly steady on a 

long-term basis.
NOTE: Data are for persons age 25 and over.

SOURCE: Bureau of Labor Statistics

Chart 2-3. The higher the education level, the lower the 

unemployment rate

0 2 4 6 8 10 12 14 16

Bachelor's degree and

higher

Some college or

associate degree

High school graduates,

no college

Less than a high school

diploma

White

Black or African American

Asian

Hispanic or Latino

Unemployment rate

2005

Chart 2-3. The higher the education level, the lower the 

unemployment rate

• Regardless of race or Hispanic ethnicity, unemployment rates generally 

decline with higher levels of education.

• In 2005, among persons 25 years and over, the unemployment rate of blacks 

with a college degree (3.5 percent) was about 11 percentage points lower than 

the rate for blacks who were high school dropouts. 

• The unemployment rate for white college graduates (2.1 percent) was about 4 

points below that of white high school dropouts. 

• The unemployment rate for Hispanic college graduates (2.9 percent) was about 

3 points below that of Hispanic high school dropouts.
$409

$670

$1,013

$583

$0

$200

$400

$600

$800

$1,000

$1,200

Less than a high

school diploma

High school

graduates, no

college

Some college or

associate degree 

Bachelor's degree

and higher

Chart 2-4. Education pays

Median weekly earnings of full-time wage and salary workers 25 years of age and over

SOURCE: Bureau of Labor Statistics

2005

Chart 2-4. Education pays

• Earnings increase with higher levels of education. 

• For example, among workers 25 years old and over, median weekly earnings 

of wage and salary workers who usually work full time are nearly two and a 

half times more for persons with at least a college degree than for those who 

have not completed high school.
SOURCE: Bureau of Labor Statistics

Chart 2-5. Education pays for everyone, regardless of race or 

Hispanic ethnicity

$0 $200 $400 $600 $800 $1,000 $1,200

Bachelor's degree and

higher

Some college or

associate degree

High school graduates,

no college

Less than a high school

diploma

White

Black or African American

Asian

Hispanic or Latino

2005

Median weekly earnings of full-time wage and salary workers 25 years of age and over

Chart 2-5. Education pays for everyone, regardless of race or 

Hispanic ethnicity

• Regardless of race or Hispanic ethnicity, college graduates earn substantially 

more than do high school graduates and more than twice as much as high 

school dropouts. 

• In 2005, for example, median weekly earnings for black high school dropouts 

were $372, while earnings for black college graduates were $828.

• Among Hispanics, median weekly earnings for high school dropouts were 

$388, while earnings for Hispanic college graduates were $866.
$200

$400

$600

$800

$1,000

$1,200

1979 1982 1985 1988 1991 1994 1997 2000 2003

Chart 2-6. Real median weekly earnings for college 

graduates have trended up over time

NOTE: Median weekly earnings of full-time wage and salary workers 25 years of age and over. Earnings data have been adjusted 

using the CPI-U-RS research series. Beginning in 1992, data are based on highest diploma or degree received; prior to 1992, data 

were based on years of school completed.

SOURCE: Bureau of Labor Statistics 

Less than a high school diploma

High school graduates, no college

Some college or associate degree

Bachelor's degree and higher 

Median weekly earnings of full-time workers (In constant 2005 dollars)

Chart 2-6. Real median weekly earnings for college 

graduates have trended up over time

• Only college graduates have experienced growth in real median weekly 

earnings since 1979. In contrast, high school dropouts have seen their real 

median weekly earnings decline by about 20 percent.

• Real earnings for high school graduates and for persons with some college or 

an associate degree were little changed over the 1979-2005 period.

• For most workers, real earnings have been relatively flat since 1999.
Section 3

Employment Relationships
0

5

10

15

20

25

1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004

Chart 3-1. Fewer than 2 in 10 employed persons work part 

time; fewer than 1 in 10 workers is self-employed

Part-time workers

Self-employed 

workers

NOTE: Shaded areas represent recessions. Data are seasonally adjusted. Beginning in 1994, data reflect the introduction of a major 

redesign of the Current Population Survey that included changes affecting the measurement of part-time workers and selfemployment. 

SOURCE: Bureau of Labor Statistics

Percent of total employment

Chart 3-1. Fewer than 2 in 10 employed persons work part 

time; fewer than 1 in 10 workers is self-employed

• In 2005, about 17 percent of all employed persons usually worked part time 

(less than 35 hours per week). For the vast majority of these workers, a parttime schedule was preferred.

• The pronounced upward shift in part-time employment in January 1994 was 

due to definitional and measurement changes associated with the redesign of 

the Current Population Survey. 

• In 2005, about 7 percent of all workers were self-employed.
1

2

3

4

5

6

7

8

1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004

Women

Chart 3-2. About 1 in 20 workers has more than one job

Total

Men

Women

Percent

NOTE: Data are for May of each year. Beginning in 1994, data reflect the introduction of a major redesign of the Current 

Population Survey. Comprehensive surveys of multiple jobholders were not conducted in 1981-84, 1986-88, 1990, and 1992-93.

SOURCE: Bureau of Labor Statistics

Men

Chart 3-2. About 1 in 20 workers has more than one job

• In May 2005, about 7.3 million workers held more than one job, representing 

5.2 percent of all employed persons. 

• For women, the multiple jobholding rate rose markedly from 1970 through the 

end of the 1980s, while the rate for men changed little over this period. For 

the last several years, women have been somewhat more likely than men to 

work more than one job.
Chart 3-3. Employment in temporary help services has been 

expanding since 2003

Thousands Percent of total nonfarm payroll employment

NOTE: Shaded areas represent recessions. Data are seasonally adjusted.

SOURCE: Bureau of Labor Statistics

0

500

1,000

1,500

2,000

2,500

3,000

1990 1993 1996 1999 2002 2005

0.0

0.5

1.0

1.5

2.0

2.5

1990 1993 1996 1999 2002 2005

Chart 3-3. Employment in temporary help services has been 

expanding since 2003

• Employment in temporary help services—an industry that provides workers to 

many other industries—grew rapidly during the 1990s, but began to decline in 

2000. Employment fell sharply in 2001, and was little changed (on net) in 

2002.

• Temporary help employment began increasing in 2003; about half a million 

jobs were added from April 2003 through December 2005.

• At the end of 2005, the industry accounted for nearly 2 percent of total 

nonfarm payroll employment, about the same share as at its peak in 2000.
Chart 3-4. In 2005, about 1 in 25 workers could be described 

as "contingent,” believing that they could not work at their 

job indefinitely

Contingent workers

(4.1 percent)

Noncontingent workers 

(95.9 percent)

February 2005

SOURCE: Bureau of Labor Statistics

Chart 3-4. In 2005, about 1 in 25 workers could be described 

as "contingent,” believing that they could not work at their 

job indefinitely

• Conceptually, contingent workers can be thought of as those workers who 

have no explicit or implicit contract for ongoing employment. Under the 

broadest definition, which includes workers who do not expect their jobs to 

last, they made up approximately 4 percent of workers in February 2005. The 

percentage of workers classified as “contingent” has edged down from about 5 

percent in February 1995 (when the data on contingent work were first 

collected).

• In 2005, slightly more than one-half of contingent workers would have 

preferred a permanent job; about one-third of contingent workers preferred the 

contingent arrangement (the remainder were either undecided or did not 

respond).
Chart 3-5. In 2005, about 10 percent of employed persons 

worked in alternative employment arrangements, mostly as 

independent contractors

Independent contractors

(7.4 percent) 

Workers provided 

by contract firms

(0.6 percent)

Temporary help 

agency workers

(0.9 percent) 

On-call workers

(1.8 percent)

SOURCE: Bureau of Labor Statistics

Traditional employment 

arrangements

(89.1) percent)

February 2005

Chart 3-5. In 2005, about 10 percent of employed persons 

worked in alternative employment arrangements, mostly as 

independent contractors

• About 1 in every 10 workers in February 2005 was employed in an 

"alternative" employment arrangement. This category includes independent 

contractors, on-call workers, temporary help agency workers, and workers 

provided by contract firms. 

• Independent contractors accounted for just over two-thirds of those in 

alternative employment arrangements.

• The vast majority of independent contractors were satisfied with their 

arrangement. Just over half of temporary help workers would have preferred a 

traditional employment arrangement.
Chart 3-6. Displacement rates rise during recessions

3.9

3.1 3.1

2.4

3.1

3.9

3.3

2.9

2.5 2.5

3.8

0.0

1.0

2.0

3.0

4.0

5.0

1981-82 1983-84 1985-86 1987-88 1989-90 1991-92 1993-94 1995-96 1997-98 1999-

2000

2001-

2002

Displacement rate

NOTE: Displaced workers are persons 20 years and older who lost or left jobs they had held for at least 3 years because their plant 

or company closed or moved, there was insufficient work for them to do, or their positions or shifts were abolished. The 2-year

displacement rates shown here are the most recent data available. 

SOURCE: Bureau of Labor Statistics

Chart 3-6. Displacement rates rise during recessions

• The displacement rate—which reflects the likelihood of job loss due to plant 

or company closings, reduced work loads, or the abolishment of positions or 

shifts—increases during recessions and falls during recoveries. 

• The risk of job loss was higher during the recessions of 1981-82, 1990-91, and 

2001 than during other years. As labor market conditions improved following 

the two earlier downturns, the risk of job loss due to displacement declined.
Chart 3-7. Workers employed in service occupations were 

least likely to be displaced in 2001-2002

3.9

2.2

4.4

5.0

6.9

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

Management,

professional, and

related occupations

Service

occupations

Sales and office

occupations

Natural resources,

construction, and

maintenance

occupations

Production,

transportation, and

material moving

occupations

2001-2002

Displacement rate

NOTE: Displaced workers are persons 20 years and older who lost or left jobs they had held for at least 3 years because their plant 

or company closed or moved, there was insufficient work for them to do, or their positions or shifts were abolished. The 2-year

displacement rates shown here are the most recent data available. 

SOURCE: Bureau of Labor Statistics

Chart 3-7. Workers employed in service occupations were 

least likely to be displaced in 2001-2002

• The displacement rate reflects the likelihood of job loss due to plant or 

company closings, reduced work loads, or the abolishment of positions or 

shifts. 

• Workers in service occupations were least likely to be displaced in 2001-2002. 

In contrast, workers in production, transportation, and material moving 

occupations were the most likely to be displaced during the period.
Chart 3-8. About one-quarter of workers displaced from fulltime jobs in 2001-2002 found full-time jobs that paid at least 

what they made on their old jobs

Employed in full-time

wage and salary jobs with

earnings the same as or 

higher than on lost jobs

24.2 percent

Not in labor force

14.7 percent

Self-employed or

unpaid family worker

7.1 percent Employed in full-time

wage and salary jobs with

earnings less than

on lost jobs

36.1 percent Employed in part-time

wage and salary jobs

7.0 percent

NOTE: Displaced workers are persons 20 years and older who lost or left jobs they had held for at least 3 years because their plant or

company closed or moved, there was insufficient work for them to do, or their positions or shifts were abolished.

SOURCE: Bureau of Labor Statistics

Unemployed

10.8 percent

Employment status

in January 2004

Chart 3-8. About one-quarter of workers displaced from 

full-time jobs in 2001-2002 found full-time jobs that paid at 

least what they made on their old jobs

• Some displaced workers drop out of the labor force after losing their jobs; 

others look for work.

• Most do find work again, although many of these workers earn less than on 

their old job. For example, 67 percent of those displaced from full-time jobs 

during the 2001-2002 period had found new wage and salary jobs by the time 

they were surveyed in 2004. About 36 percent found full-time wage and 

salary employment that paid less than what they earned on their old job. A 

smaller proportion of displaced workers—24 percent—found full-time jobs 

that paid as much or more than what they earned on their previous job. The 

remaining 7 percent were working part time.
Chart 3-9. Declining proportions of men have worked for 

their current employer for 10 years or longer

19

37

51

58

62

66 66

48

12

25

36

48

53 53

49 47

0

20

40

60

80

30 to 34

years

35 to 39 40 to 44 45 to 49 50 to 54 55 to 59 60 to 64 65 years

and over

1983 2004

SOURCE: Bureau of Labor Statistics

Percent with 10 or more 

years of tenure

Age

Chart 3-9. Declining proportions of men have worked for 

their current employer for 10 years or longer

• In nearly every age group, the proportion of men who worked for their current 

employer for 10 years or longer declined between 1983 and 2004.

• Many perceive longevity with an employer as a measure of employment 

stability. Hence, long tenure and rising tenure are viewed as “good” and short 

tenure and falling tenure as “bad.” Tenure can be an ambiguous indicator, 

however. For example, many people change employers voluntarily to take 

better jobs. If the economy is performing well, more workers have 

opportunities to change jobs voluntarily, possibly resulting in a decline in 

tenure.
Chart 3-10. Rising proportions of women ages 40 to 54 have 

worked for their current employer for 10 years or longer

22 23

33

43

53 55

10

21

29

36

44

48 51 51

15

51

0

20

40

60

80

30 to 34

years

35 to 39 40 to 44 45 to 49 50 to 54 55 to 59 60 to 64 65 years

and over

1983 2004

SOURCE: Bureau of Labor Statistics

Percent with 10 or more 

years of tenure

Age

Chart 3-10. Rising proportions of women ages 40 to 54 have 

worked for their current employer for 10 years or longer

• Between 1983 and 2004, the proportion of women who have worked for their 

current employer for 10 years or longer increased among those 40 to 54 years 

old. 

• Some of this increase may reflect differences in the labor market experiences 

of women in different generations.
Chart 3-11. Union membership has declined over time

0

5

10

15

20

25

30

1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005

Percent of employed wage and salary workers

SOURCE: Bureau of Labor Statistics

Men

Total

Women

Chart 3-11. Union membership has declined over time

• In 2005, 12.5 percent of wage and salary workers were union members, down 

from 20.1 percent in 1983 (the first year for which comparable data are 

available).

• Nearly 4 in 10 government workers were union members in 2005, compared 

with fewer than 1 in 10 private-sector employees.

• Men are more likely than women to be union members; however, the disparity 

has narrowed over time.
Section 4

Race and Hispanic Ethnicity
SOURCE: Bureau of Labor Statistics

Chart 4-1. Selected labor force characteristics of blacks or 

African Americans

0 20 40 60 80 100

Percent

In 2005, blacks or African Americans comprised:

15 percent of those

working part time for

economic reasons

22 percent of the

unemployed

11 percent of the

labor force

29 percent of the

long-term unemployed

25 percent of 

marginally attached

workers

Chart 4-1. Selected labor force characteristics of blacks or 

African Americans

• Blacks are more likely than other groups to experience labor market problems. 

For instance, while blacks made up 11 percent of the U.S. labor force in 2005, 

they accounted for 22 percent of the unemployed and 29 percent of the longterm unemployed (persons unemployed for 27 weeks or longer).

• Also, blacks comprised a disproportionate share of the marginally attached—

persons who were available for work and had searched for work during the 

prior 12 months but who were not currently looking for work.
SOURCE: Bureau of Labor Statistics

Chart 4-2. Selected labor force characteristics of Hispanics 

or Latinos

0 20 40 60 80 100

Percent

In 2005, Hispanics or Latinos comprised:

21 percent of those

working part time for

economic reasons

16 percent of the

unemployed

13 percent of the

labor force

13 percent of the

long-term unemployed

15 percent of 

marginally attached

workers

Chart 4-2. Selected labor force characteristics of Hispanics 

or Latinos

• Hispanics made up 13 percent of the labor force in 2005. 

• However, they accounted for 21 percent of persons employed part time for 

economic reasons and 16 percent of the unemployed.

• Persons whose ethnicity is identified as Hispanic or Latino may be of any race.
SOURCE: Bureau of Labor Statistics

Chart 4-3. Selected labor force characteristics of Asians

0 20 40 60 80 100

Percent

In 2005, Asians comprised:

4 percent of those

working part time for

economic reasons

3 percent of the

unemployed

4 percent of the

labor force

5 percent of the

long-term unemployed

4 percent of 

marginally attached

workers

Chart 4-3. Selected labor force characteristics of Asians

• Asians made up about 4 percent of the labor force in 2005.

• They accounted for similar proportions of the unemployed and other 

categories of persons experiencing certain types of labor market difficulties.
Chart 4-4. Blacks are less likely to participate in the labor 

force than whites, Asians, or Hispanics

NOTE: Persons whose ethnicity is identified as Hispanic or Latino may be of any race. Data for Asians only available since 2000.

SOURCE: Bureau of Labor Statistics

55

60

65

70

1970 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003

Percent

White

Hispanic or Latino

Black or African American

Asian

Chart 4-4. Blacks are less likely to participate in the labor 

force than whites, Asians, or Hispanics 

• In 2005, the labor force participation rate—the percent of persons 16 years and 

over who are working or looking for work—was 64.2 percent for blacks; this 

compared with 68.0 percent for Hispanics. 

• The rates for whites and Asians were similar—66.3 percent and 66.1 percent, 

respectively.
Chart 4-5. Unemployment rates for blacks and Hispanics 

have remained consistently higher than the rate for whites

2

4

6

8

10

12

14

16

18

20

1970 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003

Percent

White

Hispanic or Latino

Black or African American

Asian

NOTE: Persons whose ethnicity is identified as Hispanic or Latino may be of any race. Data for Asians only available since 2000.

SOURCE: Bureau of Labor Statistics

Chart 4-5. Unemployment rates for blacks and Hispanics 

have remained consistently higher than the rate for whites

• The unemployment rate for blacks 16 years and over generally has been at 

least twice that of whites. 

• The jobless rate for Hispanics, while higher than that for whites, is lower than 

that for blacks.

• The rate for Asians is similar to that of whites.
SOURCE: Bureau of Labor Statistics

Chart 4-6. Blacks and Hispanics are less likely to be 

employed in management and professional occupations

12 10

12 7

4

19

25 26

23

22

15

24

16

24

36

26

46

17

17 19

0

20

40

60

80

100

White Black or African

American

Asian Hispanic or

Latino

2005

Percent of employed

Service occupations

Sales and office 

occupations

Management, 

professional, and related 

occupations

Natural resources, 

construction, and 

maintenance occupations

Production, transportation, 

and material moving 

occupations

Chart 4-6. Blacks and Hispanics are less likely to be 

employed in management and professional occupations

• In 2005, blacks and Hispanics were less likely to be employed in management, 

professional, and related occupations than their white or Asian counterparts. 

• Blacks and Hispanics were more likely than whites or Asians to work in 

service occupations. 

• In 2005, Hispanics were more likely than whites, blacks, or Asians to work in 

natural resources, construction, and maintenance occupations. 
Chart 4-7. Earnings of blacks and Hispanics are lower than 

those of Asians and whites

NOTE: Earnings are median weekly earnings of full-time wage and salary workers. Earnings data have been adjusted using the 

CPI-U-RS research series. Persons whose ethnicity is identified as Hispanic or Latino may be of any race. Data for Asians only 

available since 2000.

SOURCE: Bureau of Labor Statistics

$350

$400

$450

$500

$550

$600

$650

$700

$750

$800

1979 1982 1985 1988 1991 1994 1997 2000 2003

White

Hispanic or Latino

Black or African American

Asian

Median weekly earnings of full-time workers (In constant 2005 dollars)

Chart 4-7. Earnings of blacks and Hispanics are lower than 

those of Asians and whites

• The median usual weekly earnings for full-time wage and salary workers are 

higher for Asians and whites than for blacks and Hispanics.

• In 2005, the median weekly earnings of white workers were $672, compared 

with $520 for blacks and $471 for Hispanic workers. Asians earned $753 per 

week.
Section 5

Women
40

45

50

55

60

65

70

75

80

85

90

1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004

Chart 5-1. After rising for several decades, the labor force 

participation rate for women has shown no growth in recent 

years

NOTE: Shaded areas represent recessions. Data are seasonally adjusted.

SOURCE: Bureau of Labor Statistics

Adult men

Adult women

Percent

Teenagers

Chart 5-1. After rising for several decades, the labor force 

participation rate for women has shown no growth in recent 

years

• The labor force participation rate for adult women rose dramatically during the 

1970s and 1980s. In the 1990s, growth in participation slowed substantially. 

The participation rate has shown no growth in recent years. 

• The participation rate for adult men has waned over time. 

• The participation rate for teenagers (both sexes, 16 to 19 years old) has trended 

downward since the late 1970s. From 2000 to 2003, the rate declined sharply. 

The teen rate is more cyclically sensitive than that for adults.
0

20

40

60

80

100

16 to 19

years

20 to 24 25 to 34 35 to 44 45 to 54 55 to 64 65 years 

and over

Chart 5-2. Women's labor force participation patterns are 

now more like those of men

Men

Women

SOURCE: Bureau of Labor Statistics

Percent

Age

1970

2005

2005

1970

Chart 5-2. Women’s labor force participation patterns are 

now more like those of men

• In 1970, the impact of marriage and motherhood on women's labor force 

participation rates was strikingly evident. At that time, their participation 

reached its initial peak at ages 20-24, dropped at ages 25-34, and then gradually 

rose to a second peak at ages 45-54 before tapering off. 

• In 2005, this pattern of peaks and valleys was no longer evident, as women had 

increasingly added the role of worker to their lives. Indeed, women's labor 

force participation pattern by age now resembles that of men, although at a 

lower overall participation rate.
0

5

10

15

20

25

1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004

Adult men

Adult women

Teenagers

Chart 5-3. Unemployment rates for adult men and women 

have stayed quite close since the early 1980s

NOTE: Shaded areas represent recessions. Data are seasonally adjusted.

SOURCE: Bureau of Labor Statistics

Percent

Chart 5-3. Unemployment rates for adult men and women 

have stayed quite close since the early 1980s

• The unemployment rates for adult men and adult women have tracked quite 

closely since the early 1980s. Prior to that time, the jobless rate for adult 

women tended to be higher than that for men. 

• The jobless rate for teenagers is much higher than that for adults, largely 

because teens have less education and training, less experience, and tend to 

move in and out of the job market more frequently.
30

40

50

60

70

80

90

1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004

Chart 5-4. The employment-population ratios for adult men 

and women have edged up since mid-2003

Adult men

Adult women

Teenagers

Percent

NOTE: Shaded areas represent recessions. Data are seasonally adjusted.

SOURCE: Bureau of Labor Statistics

Chart 5-4. The employment-population ratios for adult men 

and women have edged up since mid-2003

• The employment-population ratio (the proportion of the population that is 

employed) for adult men has hovered around 72 percent since the early 1980s, 

with the exception of cyclical declines during recessions. The ratio for adult 

women—57.6 percent in 2005—rose markedly over the past several decades 

(although there were also cyclical swings), reflecting the dramatic influx of 

women into the job market. 

• The employment-population ratios for adult men and women declined during 

the 2001 recession, but have edged up since mid-2003.

• The employment-population ratio for teenagers fell steeply from 2000 to 2003, 

and has leveled off since. The teen ratio is more cyclically sensitive than that 

for adults.
0

5

10

15

20

25

30

35

1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004

Chart 5-5. Women continue to be more likely than men to 

work part time

Percent

NOTE: Shaded areas represent recessions. Data are seasonally adjusted. Beginning in 1994, data reflect the introduction of a major 

redesign of the Current Population Survey that included changes affecting the measurement of part-time workers. 

SOURCE: Bureau of Labor Statistics

Men

Women

Chart 5-5. Women continue to be more likely than men to 

work part time

• Women are more than twice as likely as men to work part time—that is, fewer 

than 35 hours per week. In 2005, about 25 percent of employed women were 

part-time workers, compared with 11 percent of employed men. 

• The pronounced upward shift in part-time employment in January 1994 was 

due to definitional and measurement changes associated with the redesign of 

the Current Population Survey. 
NOTE: Data are collected in March and refer to the preceding calendar year. 

SOURCE: Bureau of Labor Statistics

Chart 5-6. Year-round, full-time work has risen steadily 

among women

30

40

50

60

70

80

1960 1965 1970 1975 1980 1985 1990 1995 2000

Men

Women

Percent working year round, full time

Chart 5-6. Year-round, full-time work has risen steadily 

among women

• Among women who work at some time during the year, the proportion working 

year round (50-52 weeks) and full time (35 hours or more per week) has grown 

over the past several decades. In part, this trend reflects women’s movement 

into occupations that are typified by year-round, full-time work. 

• The proportion of men working year round and full time—which is 

considerably higher than that for women—showed little definitive movement 

until the early 1980s. It drifted upward during the 1980’s and 1990’s, but has 

since held fairly steady.
38

20

35

1

6

32

13

17 19 18

0

10

20

30

40

50

Management,

professional, and

related occupations

Service occupations Sales and office

occupations

Natural resources,

construction, and

maintenance

occupations

Production,

transportation, and

material moving

occupations

Women Men

Chart 5-7. Fewer than 1 in 10 women were employed in 

construction and maintenance occupations or production and 

transportation occupations in 2005

SOURCE: Bureau of Labor Statistics

Percent distribution of employed women and men by occupation

2005

Chart 5-7. Fewer than 1 in 10 women were employed in 

construction and maintenance occupations or production and 

transportation occupations in 2005

• Women were concentrated in management, professional, and related

occupations, service occupations, and sales and office occupations. 

• Fewer than 1 in 10 women were employed in natural resources, construction, 

and maintenance occupations or production, transportation, and material 

moving occupations.
NOTE: Earnings are median usual weekly earnings of full-time wage and salary workers. 

SOURCE: Bureau of Labor Statistics

Chart 5-8. Women's earnings have increased substantially as 

a percent of men's

60

65

70

75

80

85

1979 1982 1985 1988 1991 1994 1997 2000 2003

Women's earnings as a percent of men's

Chart 5-8. Women's earnings have increased substantially as 

a percent of men's

• The ratio of women's to men's earnings, at 81 percent in 2005, has risen sharply 

since 1979, when it stood at about 63 percent.

• In 2005, black women earned 89 percent of what black men did; among 

Hispanics, the earnings ratio was 88 percent. In contrast, white women’s 

earnings were 80 percent of white men’s and Asian women’s earnings were 81 

percent of Asian men’s.

• This simple comparison of earnings for men and women who worked full time 

does not control for many factors that can be significant in explaining earnings 

differences, such as educational attainment, occupation, hours of work, job 

tenure, and other factors.
-28

-15

-7

18

-2

-10

7

12

34

26

-40 -20 0 20 40

Percent change in real earnings, 1979-2005

Women

Men

Chart 5-9. The change in real earnings since 1979 has been 

more favorable for women than for men at all levels of 

education

NOTE: Change in median usual weekly earnings of full-time wage and salary workers age 25 and over, adjusted using the CPI-U-RS 

research series.

SOURCE: Bureau of Labor Statistics

Total, 25 years and over

Bachelor's degree and higher

Less than a high school diploma

High school graduates, no college

Some college or associate degree

Chart 5-9. The change in real earnings since 1979 has been 

more favorable for women than for men at all levels of 

education

• Overall, real earnings for women 25 years and over increased by 26 percent 

from 1979 to 2005, while men’s real earnings were little changed.

• Women with at least a high school diploma experienced increases in real 

earnings. For men, only college graduates saw an increase; all other education 

groups experienced a decline in real earnings.

• While women fared better than men over this time period, in a sense they were 

playing “catch up” to men. The growth in women’s earnings reflects in large 

part a rise in the proportion of working women with a college education, an 

increase in women in higher-paying managerial and professional jobs, and a 

shift toward more year-round, full-time work among women. 
63

79

67

58 57 61

78 81

93 89

76 76 75 76

0

20

40

60

80

100

16 years and

over

16 to 24 25 to 34 35 to 44 45 to 54 55 to 64 65 years and

over

1979 2005

Chart 5-10. The women’s-to-men’s earnings ratio has 

increased for most major age groups

NOTE: Earnings are median usual weekly earnings of full-time wage and salary workers. 

SOURCE: Bureau of Labor Statistics

Women's earnings as a percent of men's

Age

Chart 5-10. The women’s-to-men’s earnings ratio has 

increased for most major age groups

• The women's-to-men's earnings ratios have increased for workers under 65 

years of age over the 1979-2005 period. The ratio for those 65 years of age and 

over was little changed.

• In 2005, the ratios were highest for women 16 to 34 years old.

• Care should be taken in interpreting these data, however, as they provide only a 

snapshot of earnings patterns in 2005. Older women faced a different social 

and economic climate at the start of their work lives than that which exists for 

young women today. Consequently, the lifetime earnings pattern of today’s 

older women is not a reliable guide to the lifetime earnings pattern of today’s 

younger women.
Section 6

Families
Chart 6-1. The proportion of all families maintained by men 

or by women with no spouse present has grown substantially

Married-couple

families

75%

Families

maintained 

by men

6%

SOURCE: Bureau of Labor Statistics

Families

maintained 

by women

19%

March 2005

Married-couple

families

87% Families

maintained 

by men

2%

Families

maintained 

by women

11%

March 1970

Chart 6-1. The proportion of all families maintained by men 

or by women with no spouse present has grown substantially

• Families are defined as a group of two or more persons residing together who are 

related by birth, marriage, or adoption. Families are classified either as marriedcouple families or as families maintained by women or men without spouses. 

• Families maintained by women with no spouse present have grown markedly as a 

proportion of all families over time. In March 2005, almost 2 in 10 families were 

maintained by a woman; 35 years earlier, they comprised about 1 in 10. The 

percentage of families maintained by men grew from 2 to 6 percent over the period.

• Not only has the proportion of families maintained by men or women grown 

dramatically over time, but there also have been remarkable changes in the work 

patterns among married-couple families. The share of married-couple families in 

which both the husband and wife had earnings increased from 46 percent in 1970 to 

57 percent in 2004, while the proportion comprised of families with just the 

husband as an earner fell from 33 percent to 19 percent. The proportion of marriedcouple families with no earners was 14 percent in 2004.
Chart 6-2. Most families have an employed member

SOURCE: Bureau of Labor Statistics

Percent of families with an employed member

2005

85

76

84

82

0 20 40 60 80 100

Families maintained by

men

Families maintained by

women

Married-couple families

Total families

Chart 6-2. Most families have an employed member

• Overall, about 4 in 5 families had an employed member in 2005. Those 

maintained by women with no spouse present were somewhat less likely than 

other families to have an employed member.

• Families with children are more likely to have an employed member (91 

percent) than families with no children (75 percent). Many families without 

children are made up of older persons, who are less likely to be in the labor 

force.

• Of the 5.3 million families with an unemployed member in 2005, 70 percent 

had at least one worker.
SOURCE: Bureau of Labor Statistics

Chart 6-3. Labor force participation rates have increased 

dramatically among mothers over the past 30 years

47

55

45

34

71

77

68

59

0

20

40

60

80

100

Under 18 years 6 to 17 3 to 5 Under 3 years

 March 1975 March 2005

Age of youngest child

Percent

Chart 6-3. Labor force participation rates have increased 

dramatically among mothers over the past 30 years

• In 2005, about 7 out of 10 mothers were labor force participants. In 1975, 

about 5 out of 10 were working or looking for work. 

• In 2005, participation rates ranged from 59 percent for mothers whose 

youngest child was under 3 years old to 77 percent for those whose youngest 

child was 6 to 17.
SOURCE: Bureau of Labor Statistics

Chart 6-4. Black mothers have the highest labor force 

participation rates

70

77

67

58

76 80 76

68 65

73

62

53

59

68

58

45

0

20

40

60

80

100

Under 18 years 6 to 17 3 to 5 Under 3 years

White Black or African American Asian Hispanic or Latino

Age of youngest child

Percent

March 2005

Chart 6-4. Black mothers have the highest labor force 

participation rates

• In 2005, as in the past, black mothers with children under 18 were more likely 

than white mothers to be in the labor force—76 percent compared with 70 

percent. 

• Asian and Hispanic mothers were less likely than either black or white 

mothers to be labor force participants. 
Chart 6-5. In 2004, working wives contributed a little more 

than a third of their families’ income

23

25

27

29

31

33

35

37

1970 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003

SOURCE: Bureau of Labor Statistics

Percent

Chart 6-5. In 2004, working wives contributed a little more 

than a third of their families’ income

• As more wives have entered higher-paying occupations and more wives work 

full time all year, their contribution to family income has increased. By 2004, 

35 cents of every dollar of married-couple family income were earned by the 

wife.

• Among married-couple families where both wives and husbands have 

earnings, 25 percent of wives earned more than their husbands in 2004. This 

was up from 18 percent in 1987.
Chart 6-6. Nine out of 10 children live with an employed 

parent

90

69

83

97

0

20

40

60

80

100

All children In married-couple

families

In families

maintained by

women

In families

maintained by men

SOURCE: Bureau of Labor Statistics

Percent of children

2005

Chart 6-6. Nine out of 10 children live with an employed 

parent

• Children in married-couple families are more likely to live with an employed 

parent (97 percent) than are children in families maintained by women (69 

percent) or men (83 percent) with no spouse present.

• About 62 percent of all children live with mothers who work. Children are 

more likely to have a working mother in families maintained by women (69 

percent) than are children in married-couple families (63 percent).
Chart 6-7. Families allocated about one-third of their total 

spending to housing and about one-fifth to transportation in 

2004

SOURCE: Bureau of Labor Statistics

9.9

11.6

5.2

5.8

18.5

4.3

31.2

13.5

0 5 10 15 20 25 30 35

Other expenditures

Personal insurance and pensions

Entertainment

Health care

Transportation

Apparel and services

Housing

Food

Percent of total expenditures

Expenditure category

Chart 6-7. Families allocated about one-third of their total 

spending to housing and about one-fifth to transportation in 

2004

• Families are defined here as consumer units of two or more persons. These 

consumer units are traditionally-defined families or unrelated individuals who 

make joint expenditure decisions.

• Food was the third largest component in total spending. About 14 cents of 

every expenditure dollar was allocated to food.

• In 2004, the largest over-the-year increase among the major components of 

spending occurred in personal insurance and pensions.
0 5 10 15 20 25 30 35 40

Other expenditures

Personal insurance and pensions

Entertainment

Health care

Transportation

Apparel and services

Housing

Food

Percent of total expenditures

Married couple with children

Married couple only

Single parent

Chart 6-8. Single-parent families allocated more of their 

expenditure dollar to basic items—food and housing—than 

did married-couple families in 2004

SOURCE: Bureau of Labor Statistics

Expenditure category

Chart 6-8. Single-parent families allocated more of their 

expenditure dollar to basic items—food and housing—than 

did married-couple families in 2004

• In addition to food and housing, single-parent families allocated a larger share 

of their expenditure dollar to apparel and services (about 6 percent) than did 

other family groups.

• Married couples spent more as a share of total spending on transportation 

(about 20 percent) than did single-parent families. 

• Each family group allocated roughly 5 cents of every expenditure dollar to 

entertainment.
NOTE: Data are for weekdays (Monday-Friday) only and refer to employed persons ages 25 to 54 who worked on the diary day and 

lived in households with children under 18. All categories, except sleeping and working, include related travel time. Data are 2004 

annual averages.

SOURCE: Bureau of Labor Statistics

Chart 6-9. On weekdays that they worked, employed persons 

with children spent two-thirds of an average day working and 

sleeping

Sleeping

7.4 hours

Working

8.0 hours

Household 

activities

1.1 hours

Leisure

and sports

2.7 hours

Eating and drinking

1.1 hours

Other

2.5 hours

Caring for others

1.2 hours

Total = 24 hours

2004

Chart 6-9. On weekdays that they worked, employed persons 

with children spent two-thirds of an average day working and 

sleeping

• On an average work day (Monday-Friday) in 2004, employed persons ages 25 

to 54 with children in the household worked one-third (8.0 hours) of the day. 

No other single activity was allocated as much time.

• This same group slept 7.4 hours on weekdays that they worked—0.8 hour less 

than the average for the population ages 15 and older. The remainder of the 

day was spent doing a variety of activities, including leisure and sports (2.7 

hours); caring for others (1.2 hours); household activities such as housework, 

food preparation, and household management (1.1 hours); eating and drinking 

(1.1 hours); and other miscellaneous activities.

• Of the 1.2 hours spent per day caring for others, about an hour was spent 

providing care to children (household and non-household) under the age of 18 

as a primary activity. Primary childcare activities include bathing, dressing, 

reading to, and playing with children.