Advance copies of this statement are made available to the press 

under lock-up conditions with the explicit understanding that 

the data are embargoed until 8:30 a.m. Eastern Daylight Time.

Statement of

Philip L. Rones

Acting Commissioner

Bureau of Labor Statistics

Friday, November 2, 2007

Nonfarm payroll employment rose by 166,000 in October, and

the unemployment rate was unchanged at 4.7 percent. Job gains 

continued in professional and business services, food services, 

and health care. Manufacturing employment continued to decline, 

while construction employment was little changed over the month. 

Before examining October’s developments in detail, it 

should be noted that the wildfires and associated evacuations in 

Southern California had no discernable effect on the data in 

this report. The household survey reference period preceded the 

wildfires and evacuations, as did the reference period for most 

employers in the establishment survey. Household survey 

interviews were largely completed before the wildfires began, 

and response rates for the establishment survey were within the 

normal range for the affected areas. 

In October, employment rose by 65,000 in professional and 

business services; the industry has added 368,000 jobs over the 
2

year. The October employment gains were widespread, with 

notable increases in architectural and engineering services and 

in management and technical consulting. Employment services 

added 34,000 jobs over the month, offsetting a decline of 

similar magnitude in September. Thus far this year, the 

industry has lost 156,000 jobs.

Food services and drinking places added 37,000 jobs in 

October. Employment in the industry has risen by 365,000 over 

the year. Health care employment also continued to grow, 

increasing by 34,000 in October and by 400,000 over the year. 

The over-the-month gains occurred in ambulatory health care 

services, which includes offices of physicians and home health 

care services, and in hospitals. Employment also continued to 

trend up in wholesale trade.

Construction employment was little changed in October. 

Over the month, a job gain in nonresidential specialty trade 

contracting was offset by losses in the residential components 

of construction. Construction employment has fallen by 124,000 

since its peak in September 2006, driven by losses in 

residential construction. 

Among other housing-related industries, employment 

continued its downward trend in October in credit 

intermediation--the component of the financial activities sector 

that includes mortgage lending and related activities. 
3

Employment in credit intermediation has fallen by 56,000 since 

its peak in February. Within retail trade, building supply 

stores lost 7,000 jobs in October; employment in the industry 

declined by 47,000 over the year.

Manufacturing employment continued to fall in October

(-21,000), reflecting widespread declines. Factory job losses 

totaled 203,000 over the year. Average weekly hours in the 

manufacturing sector edged down over the month to 41.2 hours, 

and factory overtime was unchanged at 4.1 hours per week.

Average hourly earnings for private production and 

nonsupervisory workers were up 3 cents to $17.58 in October. 

Over the year, average hourly earnings increased by 3.8 percent.

Most labor market measures from the household survey showed 

little or no change over the month. The number of unemployed

persons, at 7.2 million, was essentially unchanged, and the 

unemployment rate remained at 4.7 percent. The employmentpopulation ratio was 62.7 percent in October, down from its 

recent peak of 63.4 percent last December. Over the period, 

most of the decline occurred among adult men and teenagers.

In summary, nonfarm payroll employment increased by 166,000 

in October, and the unemployment rate held at 4.7 percent.