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 Standard Time. 

Statement of 

Keith Hall 

Commissioner 

Bureau of Labor Statistics 

Friday, January 6, 2012

Nonfarm payroll employment rose by 200,000 in December, and 

the unemployment rate, at 8.5 percent, continued to trend down. 

In 2011, payroll employment growth averaged 137,000 per month. 

Private-sector job gains totaled 212,000 in December and 1.9 

million over the year. Government employment changed little 

over the month but fell by 280,000 over the year. 

Employment in transportation and warehousing rose by 50,000 

in December. The couriers and messengers industry accounted for 

almost all of the gain (+42,000), as seasonal hiring was 

particularly strong in December. This may reflect increased 

online purchasing during the holiday season. 

Retail trade continued to add jobs in December (+28,000), 

with increases in both general merchandise and clothing stores. 

Retail trade employment has increased by 240,000 over the past 

12 months. 
2 

Manufacturing employment rose in December (+23,000); all 

of the increase occurred in durable goods manufacturing. In 

2011, manufacturing job gains totaled 225,000. Employment in 

mining continued to increase in December (+7,000). Over the 

year, mining employment rose by 89,000. 

Health care employment continued to expand in December 

(+23,000). The industry added 315,000 jobs in 2011. Over the 

month, job gains continued in hospitals (+10,000). 

Employment in food services and drinking places continued 

to trend up in December (+24,000). Employment in the industry 

rose by 230,000 in 2011. 

Employment in government changed little over the month. 

This sector lost 280,000 jobs over the year with declines in 

local government; state government, excluding education; and the 

U.S. Postal Service. 

Average hourly earnings of all employees on private 

nonfarm payrolls increased by 4 cents in December to $23.24. 

Over the past 12 months, average hourly earnings have risen by 

2.1 percent. From November 2010 to November 2011, the Consumer 

Price Index for All Urban Consumers (CPI-U) increased by 3.4 

percent. 

Turning to measures from the survey of households, the 

jobless rate, at 8.5 percent, continued to trend down in 

December. Since August, the unemployment rate has declined by 
3 

0.6 percentage point. Over that time period, the number of 

unemployed persons declined by 823,000, while the civilian labor 

force changed little. In December, 42.5 percent of the 

unemployed had been jobless for 27 weeks or more. 

The employment-population ratio, at 58.5 percent, was 

unchanged over the month. Among the employed, those working 

part time for economic reasons fell by 371,000, to 8.1 million. 

The labor force participation rate, at 64.0 percent, was 

unchanged in December, but was slightly lower than a year 

earlier (64.3 percent). The number of discouraged workers fell 

over the year by 373,000 to 945,000 in December (not seasonally 

adjusted). Discouraged workers are persons outside the labor 

force who are not looking for work because they believe their 

job search efforts would be unsuccessful. 

Data users are reminded that seasonal adjustment factors 

for the household survey are updated each year with the release 

of the December data. Seasonally adjusted estimates going back 

5 years--to January 2007--were subject to revision. 

Summarizing labor market developments for December, the 

jobless rate, at 8.5 percent, continued to trend down, and 

nonfarm payroll employment rose by 200,000.