Monthly Labor Review • March 2011 3

U.S. Labor Market in 2010

Unemployment remains high 

in 2010

Eleni Theodossiou and 

Steven F. Hipple 

Eleni Theodossiou and Steven 

F. Hipple are economists in the 

Division of Labor Force Statistics, 

Office of Employment and Unemployment Statistics, Bureau of 

Labor Statistics. E-mail: theodossiou.eleni@bls.gov or hipple.

steve@bls.gov

The U.S. labor market remained 

weak in 2010 in the wake of the 

marked economic deterioration 

that had taken place the previous 2 years. 

Although both the level and rate of unemployment fell during the first quarter 

of 2010—the first improvement since 

the 2007–09 recession1

—unemployment 

showed little or no change during the remainder of the year. 

In the fourth quarter of 2010, 14.8 

million persons were unemployed and 

the unemployment rate was 9.6 percent, 

down from a 26-year high of 10.0 percent 

a year earlier. During 2010, the number 

of employed persons 16 years and older, as 

measured by the Current Population Survey (CPS), increased by 751,000, to 139.1 

million.2

 The rise in the number of employed persons in 2010 followed a sharp 

decline of 5.7 million in the prior year. (For 

a comparison of the employment measures 

available from the household and establishment surveys, see the box on page 4.) 

The employment-population ratio,3

 58.3 

percent in the fourth quarter of 2010, 

was little changed over the year. The labor 

force—the sum of the employed and the 

unemployed—held steady during 2010, but 

a rise in the population resulted in a decline 

in the proportion of the population in the 

labor force: the labor force participation 

rate was 0.4 percentage point lower in the 

fourth quarter than a year earlier.

At 9.6 percent in the fourth quarter of 2010, the Nation’s 

unemployment rate was slightly below its year-earlier level; 

the number of long-term unemployed reached a record high

This article examines changes in key employment and unemployment time series in 2010, 

and takes a detailed look at the effects of those 

changes on various demographic and economic 

groups.

Unemployment and labor force 

underutilization

Unemployment fell modestly and rates for most 

groups were little changed. Between the fourth 

quarter of 2009 and the first quarter of 2010, 

the overall unemployment rate declined by 

0.3 percentage point, to 9.7 percent. The rate 

then edged down to 9.6 percent in the second 

quarter and remained at that level for the second half of 2010. (See table 1.) The rate ended 

the year twice as high as it was at the start of 

the recession 3 years earlier (4.8 percent in the 

fourth quarter of 2007).4

 (See chart 1.)

The number of unemployed persons 

reached a peak of 15.3 million in the fourth 

quarter of 2009 and fell to 14.8 million by 

the fourth quarter of 2010. The over-the-year 

reduction of 548,000 in the number of unemployed reflected mainly a decline of 467,000 

between the fourth quarter of 2009 and the 

first quarter of 2010. The unemployment rate 

for adult men 20 years and older, 9.7 percent 

in the fourth quarter of 2010, was 0.7 percentage point lower than a year earlier. The overthe-year decrease in unemployment among 

adult men (–545,000) accounted for the entire 

decline in total unemployment. The jobless 
U.S. Labor Market in 2010

4 Monthly Labor Review • March 2011

rate for adult women 20 years and older, 8.2 percent 

in the fourth quarter, changed little during 2010. For 

teenagers (16 to 19 years), the jobless rate edged down 

1.2 percentage points over the year, to 25.7 percent in 

the fourth quarter. 

 Unemployment rates for nearly all major race 

and ethnicity groups were about unchanged in 2010. 

The exception was the unemployment rate for Whites, 

which fell by 0.5 percentage point over the year, to 8.7 

percent in the fourth quarter. The fourth-quarter unemployment rates for Blacks and Hispanics remained in 

double digits, at 15.8 percent and 12.9 percent, respectively. The unemployment rate for Asians was 7.3 percent (not 

seasonally adjusted) at the end of the year. 

Workers with less education continued to experience a 

substantially higher unemployment rate than did better educated members of the labor force. Among workers 25 years 

and older, the unemployment rate for those with less than a 

high school diploma was about unchanged at 15.4 percent in 

the fourth quarter of 2010. The unemployment rate for high 

school graduates with no college was 10.0 percent, down 

0.7 percentage point over the year, while the rate for those 

with some college or an associate's degree decreased by 0.4 

percentage point, to 8.4 percent. The jobless rate for college 

The Bureau of Labor Statistics produces two 

monthly employment series that are independently 

obtained: the estimate of total nonfarm jobs, derived 

from the Current Employment Statistics (CES) survey, 

also called the establishment or payroll survey; and 

the estimate of total civilian employment, based on 

the Current Population Survey (CPS), also called 

the household survey. The two surveys use different 

definitions of employment, as well as different survey 

and estimation methods. The CES survey is a survey 

of employers that provides a measure of the number 

of payroll jobs in nonfarm industries. The CPS is a 

survey of households that provides a measure of 

employed people age 16 years and older in the civilian 

noninstitutional population. Employment estimates 

from the CPS give information about workers in both 

the agricultural and nonagricultural sectors and in 

all types of work arrangements: workers with wage 

and salary jobs (including employment in a private 

household), those engaging in self-employment, and 

those doing unpaid work for at least 15 hours a week 

in a business or farm operated by a family member. 

CES payroll employment estimates are restricted to 

nonagricultural wage and salary jobs and exclude 

private household workers. As a result, employment 

estimates from the CPS are higher than those from 

the CES survey. In the CPS, however, employed people 

are counted only once, regardless of whether they 

hold more than one job during the survey reference 

period. By contrast, because the CES survey counts 

the number of jobs rather than the number of people, 

each nonfarm job is counted once, even when two or more 

jobs are held by the same person.

The reference periods for the surveys also differ. In the 

CPS, the reference period is the calendar week that includes 

the 12th day of the month. In the CES survey, employers 

report the number of workers on their payrolls for the pay 

period that includes the 12th of the month. Because pay 

periods vary in length among employers and may be longer 

than 1 week, the CES employment estimates can reflect 

longer reference periods.

For purposes of comparison, however, some adjustments 

can be made to CPS employment estimates to make them 

more similar in definitional scope to CES employment 

figures. BLS routinely carries out these adjustments to 

evaluate how the two employment series are tracking. The 

long-term trends in the two surveys’ employment measures 

are quite comparable. Nonetheless, throughout the history 

of the surveys, there have been periods when the short-term 

trends diverged or when growth in one series significantly 

outpaced growth in the other. For example, following the 

end of the 2001 recession, CPS employment began to trend 

upward while CES employment continued to decline for a 

number of months.

BLS publishes a monthly report with the latest trends and 

comparisons of employment as measured by the CES survey 

and the CPS. (See “Employment from the BLS household 

and payroll surveys: summary of recent trends” (Bureau of 

Labor Statistics), on the Internet at www.bls.gov/web/

ces_cps_trends.pdf.) This report includes a summary of 

possible causes of differences in the surveys’ employment 

trends, as well as links to additional research on the topic.

The CPS and the CES survey
Monthly Labor Review • March 2011 5

Employment status of the civilian noninstitutional population 16 years and older, by age and selected 

characteristics, seasonally adjusted quarterly averages, 2009–10

[Levels in thousands]

Characteristic

2009 2010 Change, 

quarter IV 

2009 to 

quarter IV 

2010

 Quarter IV Quarter I Quarter II Quarter III Quarter IV

Total, 16 years and older

Civilian labor force ..................................................................................... 153,663 153,602 154,147 153,956 153,867 204

 Participation rate............................................................................... 64.9 64.8 64.9 64.7 64.5 –.4

 Employed................................................................................................. 138,315 138,721 139,276 139,212 139,066 751

 Employment-population ratio...................................................... 58.4 58.5 58.6 58.5 58.3 –.1

 Unemployed ........................................................................................... 15,349 14,882 14,871 14,744 14,801 –548

 Unemployment rate......................................................................... 10.0 9.7 9.6 9.6 9.6 –.4

Men, 20 years and older

Civilian labor force ..................................................................................... 78,826 78,598 79,184 79,192 78,967 141

 Participation rate............................................................................... 74.4 74.1 74.4 74.2 73.7 –.7

 Employed................................................................................................. 70,639 70,736 71,376 71,468 71,325 686

 Employment-population ratio ..................................................... 66.6 66.7 67.1 66.9 66.6 .0

 Unemployed ........................................................................................... 8,187 7,862 7,808 7,724 7,642 -545

 Unemployment rate......................................................................... 10.4 10.0 9.9 9.8 9.7 –.7

Women, 20 years and older

Civilian labor force ..................................................................................... 68,742 68,987 69,017 68,921 69,065 323

 Participation rate............................................................................... 60.4 60.6 60.5 60.2 60.2 –.2

 Employed................................................................................................. 63,221 63,515 63,491 63,427 63,404 183

 Employment-population ratio...................................................... 55.6 55.8 55.6 55.4 55.2 –.4

 Unemployed ........................................................................................... 5,520 5,472 5,526 5,494 5,661 141

 Unemployment rate......................................................................... 8.0 7.9 8.0 8.0 8.2 .2

Both sexes, 16 to 19 years

Civilian labor force ..................................................................................... 6,095 6,017 5,947 5,843 5,835 –260

 Participation rate............................................................................... 35.9 35.4 35.1 34.7 34.7 –1.2

 Employed................................................................................................. 4,454 4,470 4,409 4,317 4,337 –117

 Employment-population ratio ..................................................... 26.2 26.3 26.0 25.6 25.8 –.4

 Unemployed ........................................................................................... 1,641 1,548 1,537 1,526 1,498 –143

 Unemployment rate......................................................................... 26.9 25.7 25.9 26.1 25.7 –1.2

White

Civilian labor force ...................................................................................... 125,207 124,932 125,344 125,261 124,813 –394

 Participation rate............................................................................... 65.4 65.2 65.3 65.2 64.8 –.6

 Employed................................................................................................. 113,716 114,021 114,331 114,401 113,927 211

 Employment-population ratio ..................................................... 59.4 59.5 59.6 59.5 59.1 –.3

 Unemployed ........................................................................................... 11,491 10,911 11,013 10,861 10,885 –606

 Unemployment rate......................................................................... 9.2 8.7 8.8 8.7 8.7 –.5

Black or African American

Civilian labor force ..................................................................................... 17,596 17,810 17,891 17,776 17,974 378

 Participation rate............................................................................... 61.9 62.4 62.4 61.8 62.3 .4

 Employed................................................................................................. 14,797 14,911 15,064 14,933 15,129 332

 Employment-population ratio ..................................................... 52.1 52.2 52.6 51.9 52.4 .3

 Unemployed ........................................................................................... 2,798 2,898 2,827 2,843 2,845 47

 Unemployment rate......................................................................... 15.9 16.3 15.8 16.0 15.8 –.1

Asian1

Civilian labor force ..................................................................................... 7,098 7,089 7,284 7,283 7,336 238

 Participation rate............................................................................... 65.3 64.3 65.2 64.7 64.6 –.7

 Employed................................................................................................. 6,549 6,515 6,749 6,753 6,802 253

 Employment-population ratio ..................................................... 60.2 59.1 60.4 60.0 59.9 –.3

 Unemployed ........................................................................................... 549 574 535 530 534 –15

 Unemployment rate......................................................................... 7.7 8.1 7.3 7.3 7.3 –.4

See notes at end of table.

 Table 1. 
U.S. Labor Market in 2010

6 Monthly Labor Review • March 2011

graduates, 4.9 percent in the fourth quarter, was little 

changed over the year. (See table 2.)

The prolonged labor market downturn has piqued interest in the job market prospects of young adults 20 to 

24 years. Among young adults who were not enrolled in 

school in the fourth quarter of 2010, unemployment rates 

(not seasonally adjusted) ranged from a low of 9.3 percent 

for individuals with a college degree to a high of 26.6 percent for those with less than a high school diploma. These 

rates are all substantially higher than at the onset of the 

most recent recession; in the fourth quarter of 2007, unemployment rates for young adults not enrolled in school 

ranged from a low of 4.9 percent for college graduates to a 

high of 14.5 percent for individuals with less than a high 

school diploma. 

The number of persons who were unemployed because of job 

loss declined in 2010. After rising sharply during 2008 

and 2009, the number of unemployed job losers fell to 

9.2 million in the fourth quarter of 2010, down 687,000 

from a year earlier. (See chart 2.) Most of the over-theyear decline in job losers occurred in the first quarter of 

2010. (See table 3.) 

There are two categories of job losers: those on temporary layoff (expecting recall) and those not on temporary 

layoff. The latter category is divided into two groups: permanent job losers and persons who completed temporary 

jobs. The number of permanent job losers declined over 

the year, dropping from 6.8 million to 6.2 million in the 

fourth quarter of 2010. 

The number of reentrants to the labor force, 3.4 million in the fourth quarter of 2010, held fairly steady during 

the year. (Reentrants are those who had been in the labor 

force previously, had spent time out of the labor force, and 

were actively seeking work once again.) Similarly, both the 

number of job leavers (unemployed persons who voluntarily left their jobs) and the number of unemployed new 

entrants were little changed from their year-earlier levels. 

The number of long-term unemployed continued to grow, raising the average (mean) duration of joblessness by 5.5 weeks to 

34 weeks in the fourth quarter of 2010. About 6.3 million 

individuals had been jobless for at least 27 weeks at the 

end of 2010, an increase of 434,000 from a year earlier.5

These long-term unemployed individuals made up a larger proportion of the total unemployed in 2010 than they 

did the previous year: 42.8 percent in the fourth quarter 

of 2010, up from 38.5 percent a year earlier. (See table 3.) 

The long-term jobless have accounted for a rising proportion of the unemployed since the start of the 2007–09 

recession; their share reached 45.4 percent in the second 

quarter of 2010—the highest proportion since the data 

series began in 1948—but declined slightly in the second 

half of the year. (See chart 3 for trends over the past two 

decades.) 

The proportion of total unemployment made up of 

persons unemployed for 52 weeks or longer also reached 

a record high by the end of 2010 (not seasonally adjusted). In the fourth quarter, 4.4 million persons had been 

jobless for a year or longer, accounting for about 3 in 10 

unemployed persons.6 The median number of weeks of 

unemployment reached a historic high of 23.3 weeks in 

Continued—Employment status of the civilian noninstitutional population 16 years and older, by age and selected 

characteristics, seasonally adjusted quarterly averages, 2009–10

[Level in thousands]

Characteristic

2009 2010 Change, 

quarter IV 

2009 to 

quarter IV

 2010

 Quarter IV Quarter I Quarter II Quarter III Quarter IV

Hispanic or Latino ethnicity

Civilian labor force ..................................................................................... 22,497 22,644 22,696 22,789 22,865 368

 Participation rate............................................................................... 67.6 67.9 67.6 67.4 67.1 –.5

 Employed................................................................................................. 19,609 19,822 19,878 20,004 19,913 304

 Employment-population ratio......................................................... 58.9 59.5 59.2 59.1 58.4 –.5

 Unemployed ........................................................................................... 2,888 2,822 2,819 2,785 2,952 64

 Unemployment rate......................................................................... 12.8 12.5 12.4 12.2 12.9 .1

1 Data for Asians are not seasonally adjusted.

NOTE: Estimates for race and Hispanic ethnicity do not sum to totals 

because data are not presented for all races and because persons of Hispanic 

 Table 1. 

ethnicity may be of any race and are also included in the race groups. 

Updated population controls are introduced annually with the release of 

January data. 
Monthly Labor Review • March 2011 7

 Chart 1. Unemployment rate for persons 16 years and older, seasonally adjusted quarterly averages, 

1969–2010

1969 1972 1975 1978 1981 1984 1987 1990 1993 1996 1999 2002 2005 2008

Percent Percent

12

10

8

6

4

2

0

12

10

8

6

4

2

0

NOTE: Shaded regions represent recessions as designated by the National Bureau of Economic Research (NBER).

Reentrants

New 

entrants Job leavers

Thousands of persons Thousands of persons

 Chart 2. Reasons for unemployment, seasonally adjusted quarterly averages, 1990–2010

12,000

10,000

8,000

6,000

4,000

2,000

0

Job losers

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

NOTE: Shaded regions represent recessions as designated by the National Bureau of Economic Research (NBER).

12,000

10,000

8,000

6,000

4,000

2,000

0
U.S. Labor Market in 2010

8 Monthly Labor Review • March 2011

the second quarter of 2010 and then edged down to 21.8 

weeks by the end of the year.

The persistently high level of unemployment in 2010 is reflected 

in the labor force status flow data. Each month, BLS reports 

on the number of persons employed, unemployed, or not 

in the labor force as measured by the CPS. The monthly net 

changes in the number of persons employed and unemployed are important gauges of the health of the U.S. labor 

market. A great deal of churning underlies the relatively 

small net changes that typically occur; these gross movements are captured by labor force flow data, which show 

that millions of people move between employment and 

unemployment each month, and millions of others leave 

or enter the labor force. During 2010, nearly 18 million 

people, representing 7.5 percent of the population, changed 

their labor force status in an average month.

A greater understanding of the persistently high level 

of unemployment in 2010 can be obtained by examining 

the updated status (employed, unemployed, or not in the 

labor force) of persons who were unemployed. The share 

of the unemployed who remained unemployed from one 

month to the next rose sharply during each of the past three 

recessions and remained high for many months during the 

economic recoveries that followed.7

 Chart 4 shows the 

proportions of unemployed persons who found employEmployment status of the civilian noninstitutional population 25 years and older, by educational attainment, 

seasonally adjusted quarterly averages, 2009–10

[Levels in thousands]

Characteristic

2009 2010 Change, 

quarter IV 

2009 to 

quarter IV 

2010

 Quarter IV Quarter I Quarter II Quarter III Quarter IV

Less than a high school diploma

Civilian labor force .................................................................................... 12,043 11,754 12,076 11,885 11,787 –256

 Participation rate.............................................................................. 46.4 46.1 45.7 46.8 46.5 .1

 Employed................................................................................................ 10,219 9,991 10,319 10,164 9,971 –248

 Employment-population ratio .................................................... 39.3 39.2 39.1 40.0 39.4 .1

 Unemployed .......................................................................................... 1,824 1,763 1,758 1,722 1,816 –8

 Unemployment rate........................................................................ 15.1 15.0 14.6 14.5 15.4 .3

High school diploma, no college

Civilian labor force .................................................................................... 37,934 38,376 38,443 38,132 38,026 92

 Participation rate.............................................................................. 61.9 61.5 62.1 61.8 61.2 –.7

 Employed................................................................................................ 33,874 34,352 34,343 34,279 34,242 368

 Employment-population ratio .................................................... 55.3 55.1 55.5 55.6 55.1 –.2

 Unemployed .......................................................................................... 4,060 4,024 4,100 3,852 3,784 –276

 Unemployment rate........................................................................ 10.7 10.5 10.7 10.1 10.0 –.7

Some college or associate's degree

Civilian labor force .................................................................................... 36,857 36,664 36,724 36,991 36,989 132

 Participation rate.............................................................................. 70.5 70.9 71.0 70.4 70.0 –.5

 Employed................................................................................................ 33,603 33,659 33,688 33,769 33,875 272

 Employment-population ratio .................................................... 64.3 65.1 65.1 64.3 64.1 –.2

 Unemployed .......................................................................................... 3,254 3,006 3,036 3,221 3,113 –141

 Unemployment rate........................................................................ 8.8 8.2 8.3 8.7 8.4 –.4

Bachelor's degree or higher

Civilian labor force .................................................................................... 46,038 45,777 45,922 46,048 46,255 217

 Participation rate.............................................................................. 77.3 77.0 77.2 76.1 76.5 –.8

 Employed................................................................................................ 43,809 43,560 43,804 43,956 44,006 197

Employment-population ratio 73.5 73.3 73.7 72.7 72.8 –.7

Unemployed........................................................................................... 2,229 2,217 2,118 2,092 2,249 20

Unemployment rate...................................................................... 4.8 4.8 4.6 4.5 4.9 .1

NOTE: Updated population controls are introduced annually with the release of January data.

 Table 2. 
Monthly Labor Review • March 2011 9

Percent Percent

 Chart 3. Long-term unemployed as a percent of total unemployed, seasonally adjusted quarterly averages, 

1990–2010

50

45

40

35

30

25

20

15

10

5

0

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

NOTE: Shaded regions represent recessions as designated by the National Bureau of Economic Research (NBER).

50

45

40

35

30

25

20

15

10

5

0

Percent Percent

 Chart 4. Percent of the unemployed finding employment, remaining unemployed, or leaving the labor force, 

seasonally adjusted 3-month moving average, April 1990–December 2010

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

70

60

50

40

30

20

10

0

Leaving the labor force

Finding employment

Remaining unemployed

NOTE: Shaded regions represent recessions as designated by the National Bureau of Economic Research (NBER).

70

60

50

40

30

20

10

0
U.S. Labor Market in 2010

10 Monthly Labor Review • March 2011

ment, remained unemployed, and left the labor force. The 

data indicate that, from the fourth quarter of 2009 to the 

fourth quarter of 2010, unemployed persons continued to 

be much more likely from one month to the next to remain 

unemployed than to find employment. Although the data 

show that the likelihood of remaining unemployed was 

greater than the combined likelihood of finding employment and leaving the labor force, the share of unemployed 

persons who remained unemployed from one month to 

the next, 63.1 percent (calculated as a 3-month moving 

average) in December 2010, trended down over the year 

after having reached a high of about 65 percent in late 

2009. During 2010, the likelihood of unemployed persons 

finding employment or exiting the labor force changed 

little; in December, the proportions were 17.1 percent and 

19.8 percent, respectively. 

Unemployed persons by reason and duration of unemployment, seasonally adjusted quarterly averages, 2009–10

[Levels in thousands]

2009 2010 Change, 

 quarter IV 

2009 to

 quarter IV 

2010

 Quarter IV Quarter I Quarter II Quarter III Quarter IV

Reason for unemployment

Job losers and persons who completed

 temporary jobs................................................................ 9,842 9,383 9,176 9,220 9,155 –687

 On temporary layoff.................................................... 1,583 1,521 1,402 1,371 1,375 –208

 Not on temporary layoff............................................ 8,259 7,862 7,774 7,849 7,780 –479

 Permanent job losers................................................ 6,802 6,499 6,431 6,447 6,225 –577

 Persons who completed temporary jobs.......... 1,457 1,363 1,343 1,403 1,555 98

Job leavers........................................................................... 921 893 932 858 877 –44

Reentrants............................................................................ 3,341 3,523 3,484 3,425 3,445 104

New entrants....................................................................... 1,221 1,205 1,185 1,217 1,286 65

Percent distribution:

Job losers and persons who completed

 temporary jobs................................................................ 64.2 62.5 62.1 62.6 62.0 –2.2

 On temporary layoff.................................................... 10.3 10.1 9.5 9.3 9.3 –1.0

 Not on temporary layoff............................................ 53.9 52.4 52.6 53.3 52.7 –1.2

Job leavers........................................................................... 6.0 6.0 6.3 5.8 5.9 –.1

Reentrants............................................................................ 21.8 23.5 23.6 23.3 23.3 1.5

New entrants....................................................................... 8.0 8.0 8.0 8.3 8.7 .7

Duration of unemployment

Less than 5 weeks.............................................................. 2,967 2,766 2,745 2,821 2,736 –231

5 to 14 weeks...................................................................... 3,522 3,312 3,066 3,344 3,316 –206

15 weeks or longer ........................................................... 8,845 8,905 8,906 8,566 8,741 –104

 15 to 26 weeks................................................................. 2,945 2,589 2,219 2,248 2,407 –538

 27 weeks or longer......................................................... 5,900 6,317 6,687 6,317 6,334 434

Mean duration, in weeks................................................ 28.5 30.7 34.1 33.6 34.0 5.5

Median duration, in weeks............................................. 19.8 20.0 23.3 20.9 21.8 2.0

Percent distribution:

Less than 5 weeks.............................................................. 19.3 18.5 18.7 19.1 18.5 –.8

5 to 14 weeks...................................................................... 23.0 22.1 20.8 22.7 22.4 –.6

15 weeks or longer ........................................................... 57.7 59.4 60.5 58.2 59.1 1.4

 15 to 26 weeks................................................................. 19.2 17.3 15.1 15.3 16.3 –2.9

 27 weeks or longer ........................................................ 38.5 42.2 45.4 42.9 42.8 4.3

NOTE: Updated population controls are introduced annually with the release of January data.

 Table 3. 

Reason and duration
Monthly Labor Review • March 2011 11

The number of persons employed part time for economic reasons 

was essentially unchanged over the year. Involuntary parttime employment—the measure of persons who would 

prefer to work full time but worked part time for economic 

reasons—fell in the first quarter of 2010, but then edged up 

over the remaining quarters of the year, reaching 9.0 million 

in the fourth quarter, about the same level as a year earlier. 

Since 1994, slack work or unfavorable business conditions, 

rather than an inability to find full-time work, has been the 

primary reason for working part time involuntarily. Since 

reaching its most recent low in early 2006, involuntary parttime employment has more than doubled.8

 (See chart 5.) 

In 2010, the number of persons who were not in the labor force 

but wanted a job increased for the third consecutive year, as did 

the number of discouraged workers. The category "not in the 

labor force" consists of persons who are neither employed 

nor unemployed. In the fourth quarter of 2010, there were 

85.2 million persons who were not in the labor force (not 

seasonally adjusted). (See table 4.) Of those who were not 

in the labor force, nearly 2 in 5 were 65 years and older.

The number of persons not in the labor force who 

wanted a job but who were not currently looking for one 

was 6.0 million in the fourth quarter of 2010, 245,000 

higher than a year earlier.9

 Among this group of persons 

who wanted, but were not currently seeking, a job were 

2.6 million "persons marginally attached to the labor 

force" in the fourth quarter of 2010, representing an overthe-year increase of 187,000.10 These marginally attached 

individuals were not in the labor force, but wanted and 

were available for work and had looked for a job sometime 

during the previous 12 months. They were not counted as 

unemployed because they had not actively searched for 

work in the 4 weeks preceding the survey. 

Some marginally attached workers were not currently 

looking for a job specifically because they felt that no jobs 

were available for them. These "discouraged workers" numbered 1.3 million in the fourth quarter of 2010, up 407,000 

over the year. From the fourth quarter of 2007 to the fourth 

quarter of 2010, there has been a nearly fourfold increase in 

the number of discouraged workers. The remaining 1.3 million persons marginally attached to the labor force had not 

searched for work in the 4 weeks preceding the survey for 

reasons such as school attendance or family responsibilities.

Mirroring the unemployment rate, the alternative measures of 

labor underutilization declined in early 2010 before mainly 

holding steady. A number of alternative labor underutilization indicators are constructed from CPS data.11 Known 

as U-1 through U-6, the various alternative measures provide different perspectives on the degree to which labor 

resources are underutilized. Each of these measures tends 

to have a similar cyclical pattern. U-1 shows the number 

of individuals unemployed 15 weeks or longer as a percent of the labor force, while U-2 presents job losers and 

persons who completed temporary jobs as a percent of the 

labor force. U-3 is the official unemployment rate. Alternative measures U-4 through U-6 have increasingly broader 

Persons not in the labor force, not seasonally adjusted quarterly averages, 2006–10

[In thousands]

Category

2006 2007 2008 2009 2010 Change, 

quarter IV 

2009 to 

quarter IV 

2010

 Quarter IV Quarter IV Quarter IV Quarter IV Quarter IV

Total not in the labor force............................ 77,377 79,185 80,164 83,450 85,210 1,760

 Persons who currently want a job........... 4,419 4,289 5,019 5,726 5,971 245

 Marginally attached to the labor 

 force1 ........................................................... 1,365 1,357 1,831 2,394 2,581 187

 Discouraged workers2 .......................... 318 344 578 866 1,273 407

 Other persons marginally attached 

 to the labor force3 ............................. 1,047 1,013 1,253 1,528 1,308 –220

 Table 4. 

1 Data refer to persons who want a job, have searched for work during 

the previous 12 months, and were available to take a job during the 

reference week, but had not looked for work in the past 4 weeks. 2 Includes those who did not actively look for work in the previous 4 weeks 

for reasons such as “thinks no work available,” “could not find work,“ “lacks 

schooling or training,” “employer thinks too young or old,” and other types 

of discrimination.

3 Includes those who did not actively look for work in the previous 4 

weeks for such reasons as school or family responsibilities, ill health, and 

transportation problems, as well as a number for whom the reason for 

nonparticipation was not determined.

NOTE: Updated population controls are introduced annually with the 

release of January data.
U.S. Labor Market in 2010

12 Monthly Labor Review • March 2011

Thousands of persons Thousands of persons

 Chart 5. Persons employed part time for economic reasons, seasonally adjusted quarterly averages, 

1969–2010

1969 1971 1973 1975 1977 1979 1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009

10,000

9,000

8,000

7,000

6,000

5,000

4,000

3,000

2,000

1,000

0

Part time for economic reasons

Could only find part time work

Slack work

NOTE: Shaded regions represent recessions as designated by the National Bureau of Economic Research (NBER). Beginning in 1994, data are 

affected by the redesign of the Current Population Survey (denoted by black line) and therefore are not strictly comparable with data from previous 

years.

10,000

9,000

8,000

7,000

6,000

5,000

4,000

3,000

2,000

1,000

0

Percent Percent

 Chart 6. Measures of labor underutilization, U-1 to U-6, seasonally adjusted quarterly averages, 1994–2010

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

20

18

16

14

12

10

8

6

4

2

0

 NOTE: Shaded regions represent recessions as designated by the National Bureau of Economic Research (NBER). U-3 is the official unemployment 

rate.

U-6

U-5

U-2

U-4

U-1

U-3

20

18

16

14

12

10

8

6

4

2

0
Monthly Labor Review • March 2011 13

definitions of labor underutilization: U-4 adds discouraged 

workers to U-3, U-5 adds all other persons marginally attached to the labor force to U-4, and U-6 adds involuntary 

part-time workers to U-5. In 2010, both U-5 and U-6 declined by 0.3 percentage point over the year, after reaching 

their highest points in the history of each series in the fourth 

quarter of 2009. (These series began in 1994.) (See chart 6.)

Labor force participation

The size of the civilian labor force was about unchanged in 

2010, and the labor force participation rate continued to 

decline. After peaking in early 2000, the labor force 

participation rate—the proportion of the civilian noninstitutional population 16 years and older that is in the 

labor force—inched steadily downward during the 2000s. 

Factors contributing to the decade-long trend include 

the abatement of growth in the labor force participation 

of adult women, the aging of the baby boomers, and the 

ongoing decline in labor force participation among teens.

The dropoff in the participation rate was particularly 

steep in 2009, whereas the pace of the decline slowed in 

2010. After falling a full percentage point in 2009, the labor force participation rate was 64.5 percent in the fourth 

quarter of 2010, down 0.4 percentage point from its level 

a year earlier. (See chart 7.) 

The labor force participation rates for most of the major race and ethnicity groups showed little change in 2010. 

The sole exception was the rate for Whites, which fell by 

0.6 percentage point, to 64.8 percent, in the fourth quarter. The rates for Blacks and Hispanics, 62.3 percent and 

67.1 percent, respectively, changed little in 2010. The labor 

force participation rate for Asians (64.6 percent, not seasonally adjusted) also showed no statistically significant 

change over the year. (See table 1.)

As the following tabulation of seasonally adjusted data 

shows, labor force participation rates and trends varied by 

age:

Labor force participation rates (in percent)

 Age Quarter IV, Quarter IV, Change

2009 2010 

Total, 16 years and older .. 64.9 64.5 -.4

16 to 19 years.................. 35.9 34.7 -1.2

20 to 24 years.................. 71.6 71.4 -.2

25 to 34 years.................. 82.3 81.9 -.4

35 to 44 years.................. 83.2 80.9 -2.3

45 to 54 years.................. 81.5 80.9 -.6

55 years and older........... 39.9 40.1 .2

Percent

70

68

66

64

62

60

58

56

Percent

 Chart 7. Labor force participation rate and employment-population ratio, seasonally adjusted quarterly 

averages, 2000–10

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Labor force participation rate

Employment-population ratio

NOTE: Shaded regions represent recessions as designated by the National Bureau of Economic Research (NBER).

70

68

66

64

62

60

58

56
U.S. Labor Market in 2010

14 Monthly Labor Review • March 2011

Employment by occupational group and sex, not seasonally adjusted quarterly averages, 2009–10

[In thousands] 

Occupation

Total Men Women

Quarter IV 

2009

Quarter IV 

2010

Change, 

quarter IV 

2009 to 

quarter IV 

2010

Quarter IV 

2009

Quarter IV 

2010

Change, 

quarter 

IV 2009 to 

quarter IV 

2010

Quarter IV 

2009

Quarter IV 

2010

Change, 

quarter IV 

2009 to 

quarter IV 

2010

 Total, 16 years and older. 138,724 139,441 717 72,909 73,579 670 65,815 65,862 47

Management, professional, 

 and related occupations. 52,458 51,684 –774 25,336 24,908 –428 27,123 26,776 –347

 Management, business,

 and financial operations 

occupations........................ 21,021 20,504 –517 12,000 11,574 –426 9,020 8,930 –90

 Professional and related 

occupations........................ 31,438 31,180 –258 13,335 13,334 –1 18,102 17,846 –256

Service occupations........... 24,301 24,633 332 10,261 10,559 298 14,039 14,074 35

 Health care support 

occupations........................ 3,363 3,325 –38 391 398 7 2,972 2,927 –45

 Protective service 

occupations........................ 3,096 3,163 67 2,439 2,517 78 658 646 –12

 Food preparation and 

serving related 

 occupations......................... 7,604 7,823 219 3,264 3,482 218 4,340 4,341 1

 Building and grounds 

cleaning and maintenance

 occupations......................... 5,335 5,294 –41 3,140 3,087 –53 2,194 2,207 13

 Personal care and service 

 occupations...................... 4,903 5,028 125 1,028 1,076 48 3,875 3,952 77

Sales and office 

occupations........................ 33,207 33,442 235 12,459 12,543 84 20,748 20,899 151

 Sales and related 

occupations........................ 15,400 15,564 164 7,851 7,879 28 7,549 7,685 136

 Office and administrative 

support ccupations.......... 17,807 17,878 71 4,608 4,663 55 13,199 13,215 16

Natural resources, 

construction, and

 maintenance occupations. 12,981 12,842 –139 12,410 12,254 –156 572 588 16

 Farming, fishing, and 

forestry occupations........ 913 989 76 731 769 38 182 220 38

 Construction and 

extraction occupations... 7,407 6,924 –483 7,223 6,749 –474 183 175 –8

 Installation, maintenance, 

and repair occupations... 4,662 4,929 267 4,456 4,736 280 206 193 –13

Production, transportation, 

and material moving 

occupations........................ 15,777 16,841 1,064 12,444 13,315 871 3,333 3,526 193

 Production occupations.. 7,516 8,328 812 5,425 6,022 597 2,091 2,306 215

 Transportation and 

material moving 

occupations......................... 8,261 8,513 252 7,019 7,293 274 1,242 1,219 –23

 Table 5. 

NOTE: Data may not sum to totals because of rounding. Updated population controls are introduced annually with the release of January data.
Monthly Labor Review • March 2011 15

The teen (16 to 19 years) participation rate, at 34.7 percent in the fourth quarter of 2010, has trended down since 

the late 1980s, and in recent years the decline has been 

precipitous: from the fourth quarter of 2007 to the fourth 

quarter of 2010, the teen participation rate fell by 6.6 percentage points. Increased school enrollment, poor labor 

market conditions, and increased job competition from 

both older workers and recent immigrants are considered 

major factors contributing to the decline in teen participation.12 The labor force participation rate of young adults 

(those 20 to 24 years) held steady over the year.13 Since the 

fourth quarter of 2007, the labor force participation rate 

among young adults has fallen about 3 percentage points 

but the decline has not been as steep as that for teenagers.

The labor force participation rate for persons 35 to 44 

years dropped by more than 2 percentage points from the 

fourth quarter of 2009 to the fourth quarter of 2010; by 

contrast, the participation rate for adults 55 years and older, which has risen about 10 percentage points since the 

mid-1990s, continued to trend upward in 2010, reaching 

40.1 percent in the fourth quarter.14

Employment and earnings

Employment rose in 2010, but the employment-population 

ratio was little changed. Following a sharp employment decline of 8.0 million over the previous 2 years, the 

number of employed persons increased by 751,000 over 

the year, to 139.1 million in the fourth quarter of 2010. 

The employment gain for adult men was 686,000, while 

employment among adult women and teens was little 

changed. (See table 1.)

Employment growth in 2010 was concentrated among 

Blacks and Hispanics. The number of employed Blacks increased 332,000, to 15.1 million in the fourth quarter. This 

over-the-year rise in employment among Blacks made up 

44 percent of the overall increase, much larger than their 

share of total employment (11 percent). The number of 

employed Hispanics rose 304,000 over the year, to 19.9 

million, and accounted for 40 percent of the overall increase in employment. By comparison, Hispanics constituted a 14-percent share of total employment in 2010. The 

number of employed Asians increased by 253,000 during 

2010 to 6.8 million in the fourth quarter (not seasonally 

adjusted). Employment of Whites in the fourth quarter, 

113.9 million, was little changed over the year. 

After falling by 4.9 percentage points over the previous 3 years, the overall employment-population ratio, 58.3 

percent in the fourth quarter of 2010, was little changed 

over the year. (See chart 7.) The employment-population 

ratios for adult men and adult women each exhibited little 

or no change over the year. Although the gap between the 

ratios for men and women has narrowed significantly over 

time, the employment-population ratio for adult men 

remains higher than that of adult women. In the fourth 

quarter of 2010, the ratios were 66.6 percent and 55.2 percent, respectively. In 2010, the employment-population 

ratio for teenagers, 25.8 percent, was little changed from 

the previous year's figure. However, since the end of 2006, 

the employment-population ratio for teenagers has fallen 

by 11.2 percentage points.

After declining sharply over the previous 2 years, employment-population ratios for the major race and ethnicity groups were little changed in 2010. In the fourth 

quarter, the employment-population ratio was 59.1 percent for Whites, 52.4 percent for Blacks, and 58.4 percent 

for Hispanics. The ratio for Asians was 59.9 percent (not 

seasonally adjusted). (See table 1.)

Characteristic 2009 2010 Percent change, 

2009–2010

Total, 16 years and older................ $739 $747 1.1

 Men. .................................................... $819 $824 .6

 Women............................................... 657 669 1.8

 White................................................... 757 765 1.1

 Men ................................................... 845 850 .6

 Women............................................. 669 684 2.2

 Black or African American........... 601 611 1.7

 Men ................................................... 621 633 1.9

 Women............................................. 582 592 1.7

 Asian.................................................... 880 855 –2.8

 Men ................................................... 952 936 –1.7

 Women............................................. 779 773 –.8

 Hispanic or Latino ethnicity........ 541 535 –1.1

 Men ................................................... 569 560 –1.6

 Women............................................. 509 508 –.2

Total, 25 years and older................ 774 782 1.0

 Less than a high school 

diploma ............................................ 454 444 –2.2

 High school diploma, no 

college .............................................. 626 626 .0

 Some college or associate’s 

degree............................................... 726 734 1.1

 Bachelor's degree or higher ....... 1,137 1,144 .6

 Table 6. Median usual weekly earnings of full-time

wage and salary workers by selected 

characteristics, annual averages, 2009–10
U.S. Labor Market in 2010

16 Monthly Labor Review • March 2011

Employment status of persons 18 years and over by veteran status, period of service, and sex, not seasonally 

adjusted quarterly averages, 2009–10

Employment status, 

veteran status, and 

period of service 

Both sexes Men Women

Quarter IV 

2009

Quarter IV 

2010

Change, 

quarter IV

 2009 to 

quarter IV 

2010

Quarter IV 

2009

Quarter IV 

2010

Change, 

quarter IV

 2009 to 

quarter IV 

2010

Quarter IV 

2009

Quarter IV 

2010

Change, 

quarter IV

 2009 to 

quarter IV 

2010

Veterans, 18 years 

and older

 Civilian labor force ..... 11,856 11,571 –285 10,741 10,458 –283 1,114 1,113 –1

 Participation rate...... 53.8 52.9 –.9 53.0 52.1 –1.4 63.1 62.1 –1.0

 Employed.................... 10,878 10,599 –279 9,850 9,564 –286 1,028 1,035 7

 Employment- 

 population ratio.. 49.4 48.5 –.9 48.6 47.6 –2.8 58.3 57.7 –.6

 Unemployed .............. 978 973 –5 892 894 2 86 79 –7

 Unemployment

 rate .......................... 8.2 8.4 .2 8.3 8.5 .2 7.7 7.1 –.6

Gulf War-era II 

veterans

 Civilian labor force ..... 1,709 1,862 153 1,453 1,606 153 257 257 0

 Participation rate...... 83.1 81.8 –1.3 84.9 84.3 –.6 74.1 69.0 –5.1

 Employed.................... 1,544 1,662 118 1,311 1,432 121 233 231 –2

 Employment-

 population ratio.. 75.1 73.0 –2.1 76.6 75.2 –1.4 67.3 62.0 –5.3

 Unemployed .............. 165 200 35 142 174 32 23 26 3

 Unemployment

 rate .......................... 9.7 10.7 1.0 9.7 10.8 1.1 9.1 10.1 1.0

Gulf War-era I 

veterans

 Civilian labor force ..... 2,530 2,489 –41 2,162 2,149 –13 368 340 –28

 Participation rate...... 87.1 87.0 –.8 88.7 88.4 –.3 78.7 78.8 .1

 Employed.................... 2,367 2,321 –46 2,026 2,005 –21 342 317 –25

 Employment-

 population ratio.. 81.5 81.1 –.4 83.1 82.5 –.6 73.0 73.3 .3

 Unemployed .............. 163 167 4 136 144 9 27 24 –3

 Unemployment

 rate .......................... 6.4 6.7 .3 6.3 6.7 .4 7.2 6.9 –.3

World War II, Korean 

War, and Vietnamera veterans

 Civilian labor force ..... 4,144 3,886 –258 4,010 3,767 –243 133 120 –13

 Participation rate...... 37.0 35.8 –1.2 37.0 35.9 –1.1 35.8 33.8 –2.0

 Employed.................... 3,798 3,542 –256 3,676 3,430 –246 123 112 –11

 Employment-

 population ratio.. 33.9 32.6 –1.3 33.9 32.7 –1.2 32.9 31.7 –1.2

 Unemployed .............. 345 345 0 335 337 2 11 8 –3

 Unemployment

 rate .......................... 8.3 8.9 .6 8.3 8.9 .6 8.0 6.4 –1.6

Veterans of other

service periods

 Civilian labor force ..... 3,473 3,334 –139 3,117 2,937 –180 356 397 41

 Participation rate...... 59.1 56.8 –2.3 58.8 56.1 –2.7 61.7 62.5 .8

 Employed.................... 3,168 3,073 –95 2,838 2,698 –140 331 375 44

 Employment-

 population ratio.. 53.9 52.3 –1.6 53.6 51.5 –3.1 57.3 59.1 1.8

 Unemployed .............. 305 261 –44 279 239 –40 26 22 –4

 Unemployment 

 rate .......................... 8.8 7.8 –1.0 9.0 8.1 –.9 7.2 5.5 –1.7

 See notes at end of table.

 Table 7. 

[Levels in thousands]
Monthly Labor Review • March 2011 17

In contrast to 2009, when nearly all major occupational 

groups recorded substantial employment declines, employment 

in 2010 grew in production occupations and in installation, 

maintenance, and repair occupations. In 2010, the number 

of persons employed in production occupations grew by 

812,000, following a decline of 1.1 million in the previous 

year. Employment in installation, maintenance, and repair 

occupations rose by 267,000. 

However, other occupation groups fared less well in 

2010. Employment in management, business, and financial operations occupations declined by 517,000 over the 

year, while employment in professional and related occupations was little changed. The number of persons employed in construction and extraction occupations fell for 

the fourth consecutive year, declining by 483,000 in 2010. 

(See table 5.) Since its recent peak in the fourth quarter 

of 2006, employment in this occupational category has 

declined 2.8 million. 

Although men made up 53 percent of total employment, they accounted for more than 90 percent of the 

717,000 increase in employment in 2010. (The data in 

this section are not seasonally adjusted.) The employment 

losses that had taken place in 2009 were larger among 

men than women because men were more likely to be in 

occupations that are sensitive to the effects of the business cycle. In 2010, employment of men in production 

occupations rose by 597,000, accounting for 74 percent 

of the overall increase in employment in this occupation 

group. The number of men holding food preparation and 

serving-related occupations edged up 218,000 in 2010. 

Employment of men in management, business, and financial operations occupations fell 426,000, which was 82 

percent of the overall decline in employment in this occupation group. In professional and related occupations, a 

group in which women make up the majority of workers, 

women's employment edged down 256,000. In construction and extraction occupations, where men make up the 

vast majority of workers, men's employment continued to 

decline, falling by 474,000; this decline represents virtually all of the losses in this occupation group. 

Median weekly earnings of full-time wage and salary workers 

increased in 2010 at a slightly slower rate than inflation as 

measured by the Consumer Price Index for All Urban Consumers (CPI-U). Median usual weekly earnings rose to 

$747 in 2010, an increase of 1.1 percent from 2009. (The 

data in this section are annual averages.) During the same 

period, the CPI-U increased by 1.6 percent. The over-theyear increase in median weekly earnings was the smallest 

since the series began in 1979. (See table 6.)

Continued—Employment status of persons 18 years and over by veteran status, period of service, and sex, not 

seasonally adjusted quarterly averages, 2009–10

Employment status, 

veteran status, and 

period of service 

Both sexes Men Women

Quarter IV 

2009

Quarter IV 

2010

Change, 

quarter IV

 2009 to 

quarter IV 

2010

Quarter IV 

2009

Quarter IV 

2010

Change, 

quarter IV

 2009 to 

quarter IV 

2010

Quarter IV 

2009

Quarter IV 

2010

Change, 

quarter IV

 2009 to 

quarter IV 

2010

Nonveterans, 

18 years and older

 Civilian labor force .... 139,509 140,048 539 69,886 70,248 362 69,623 69,799 176

 Participation rate...... 67.8 67.4 –.4 77.8 77.2 –.6 60.1 59.8 –.3

 Employed................... 126,470 127,462 992 62,423 63,387 964 64,046 64,076 30

 Employment-

 population ratio... 61.5 61.4 –.1 69.5 69.7 .2 55.2 54.9 –.3

 Unemployed .............. 13,039 12,585 –454 7,463 6,862 –601 5,577 5,724 147

 Unemployment

 rate .......................... 9.3 9.0 –.3 10.7 9.8 –.9 8.0 8.2 .2

 Table 7. 

NOTE: Veterans served on active duty in the U.S. Armed Forces and 

were not on active duty at the time of the survey. Nonveterans never 

served on active duty in the U.S. Armed Forces. Veterans could have 

served anywhere in the world during these periods of service: Gulf War era 

II (September 2001–present), Gulf War era I (August 1990–August 2001), 

Vietnam era (August 1964–April 1975), Korean War (July 1950–January 

1955), World War II (December 1941–December 1946), and other service 

periods (all other time periods). Veterans who served in more than one 

wartime period are classified only in the most recent one. Veterans who 

served during one of the selected wartime periods and another period 

are classified only in the wartime period. Updated population controls are 

introduced annually with the release of January data.

[Levels in thousands]
U.S. Labor Market in 2010

18 Monthly Labor Review • March 2011

While median weekly earnings for women grew by 1.8 

percent in 2010, men's earnings were little changed. The 

ratio of women's to men's earnings edged up to 81.2 percent. Over time, the earnings gap between the sexes has 

narrowed considerably: in 1979, women's earnings were 

62.3 percent of men's earnings. (See chart 8.) 

In 2010, median weekly earnings for Whites were 

$765, up 1.1 percent over the year. Weekly earnings in 

2010 for Blacks ($611), Asians ($855), and Hispanics 

($535) showed no statistically significant change from 

2009. (Readers should note that the comparisons of earnings do not control for many factors that can be important in explaining earnings differences between men and 

women or among race and ethnicity groups.) (See table 6.)

Educational attainment is a major determinant of 

earnings. Among workers 25 years and older, those with 

at least a bachelor's degree continued to have the highest median weekly earnings, $1,144 in 2010. Workers 

with some college or an associate's degree earned $734, 

and high school graduates with no college earned $626. 

Earnings of workers with less than a high school diploma, 

$444, remained the lowest among the major education 

groups. For each educational attainment group, median 

weekly earnings changed little over the year. (See table 6.)

Veterans, persons with disabilities, and 

foreign-born workers

In 2010, unemployment rates for veterans and nonveterans 

were little changed. In the CPS, veterans are defined as 

men and women who have previously served on active 

duty in the U.S. Armed Forces and who were civilians 

at the time of the survey.15 In the fourth quarter of 2010, 

21.9 million men and women in the civilian noninstitutional population age 18 years and older were veterans. 

Veterans were more likely than nonveterans to be men 

and older. In part, this fact reflects the characteristics of 

veterans who served during World War II, the Korean 

War, and the Vietnam era. Veterans who served during 

these wars compose about one-half of the veteran population. About 2.9 million veterans served during Gulf War 

era I (August 1990 to August 2001) and another 2.3 million veterans served during Gulf War era II (September 

2001 to present). An additional 5.9 million served outside 

the designated wartime periods.

Overall, 52.1 percent of male veterans 18 years and 

Percent

85

80

75

70

65

60

55

50

Percent

 Chart 8. Women’s median usual weekly earnings as a percent of men’s, full-time wage and salary workers, 

annual averages, 1979–2010

1979 1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009

85

80

75

70

65

60

55

50
Monthly Labor Review • March 2011 19

Employment status of the civilian noninstitutional population by sex, age, and disability status, not seasonally 

adjusted quarterly averages, 2009–10

[Levels in thousands]

Employment status, sex, and age

Persons with a disability Persons with no disability

Quarter IV 

2009

Quarter IV 

2010

Change, 

quarter IV 

2009 to

quarter IV 

2010

Quarter IV 

2009

Quarter IV 

2010

Change, 

quarter IV 

2009 to

quarter IV 

2010

Total, 16 years and older

 Civilian labor force ................................................... 5,830 5,715 –115 147,459 147,787 328

 Participation rate.................................................... 21.6 21.3 –.3 70.3 69.7 –.6

 Employed.................................................................. 4,967 4,885 –82 133,757 134,556 799

 Employment-population ratio ........................ 18.4 18.2 –.2 63.8 63.5 –.3

 Unemployed ............................................................ 863 830 –33 13,702 13,231 –471

 Unemployment rate............................................ 14.8 14.5 –.3 9.3 9.0 –.3

Men, 16 to 64 years

 Civilian labor force ................................................... 2,637 2,625 –12 75,222 75,217 –5

 Participation rate.................................................... 36.4 35.5 –.9 82.8 82.3 –.5

 Employed.................................................................. 2,205 2,206 1 67,250 67,874 624

 Employment-population ratio ........................ 30.4 29.9 –.5 74.1 74.3 .2

 Unemployed ............................................................ 432 418 –14 7,972 7,343 –629

 Unemployment rate............................................ 16.4 15.9 –.5 10.6 9.8 –.8

Women, 16 to 64 years

 Civilian labor force ................................................... 2,352 2,303 –49 66,379 66,518 139

 Participation rate.................................................... 31.0 31.0 .0 71.5 71.1 –.4

 Employed.................................................................. 2,003 1,955 –48 61,000 61,018 18

 Employment-population ratio ........................ 26.4 26.4 .0 65.7 65.2 –.5

 Unemployed ............................................................ 349 348 -1 5,379 5,500 121

 Unemployment rate............................................ 14.8 15.1 .3 8.1 8.3 .2

Both sexes, 65 years and older

 Civilian labor force ................................................... 840 787 –53 5,858 6,052 194

 Participation rate.................................................... 6.9 6.6 –.3 22.4 22.4 .0

 Employed.................................................................. 759 723 –36 5,507 5,664 157

 Employment-population ratio ........................ 6.2 6.0 –.2 21.1 21.0 –.1

 Unemployed ............................................................ 81 63 –18 351 388 37

 Unemployment rate............................................ 9.7 8.1 –1.6 6.0 6.4 .4

 Table 8. 

NOTE: A person with a disability has at least one of the following 

conditions: deafness or serious difficulty hearing; blindness or serious 

difficulty seeing, even when wearing glasses; serious difficulty concentrating, 

remembering, or making decisions because of a physical, mental, or 

emotional condition; serious difficulty walking or climbing stairs; difficulty 

dressing or bathing; or difficulty doing errands alone such as visiting a 

doctor’s office or shopping because of a physical, mental, or emotional 

condition. Updated population controls are introduced annually with the 

release of January data.
U.S. Labor Market in 2010

20 Monthly Labor Review • March 2011

older were in the labor force in the fourth quarter of 2010, 

compared with 77.2 percent of their nonveteran counterparts. This disparity in participation rates reflects the 

older age profile of male veterans, who are much more 

likely than nonveterans to be 55 years and older; older 

workers, in general, have relatively low rates of labor force 

participation. The participation rate for male veterans of 

Gulf War era II was 84.3 percent in the fourth quarter. 

For both male veterans and male nonveterans, labor force 

participation declined during 2010. Employment-population ratios for male veterans of all service periods fell 

during 2010, while the ratio for their nonveteran counterparts was little changed. In the fourth quarter of 2010, 

the employment-population ratio for male Gulf War-era 

II veterans was 75.2 percent. (See table 7.)

The unemployment rate for male veterans, at 8.5 percent, 

was lower than the rate for nonveterans of 9.8 percent in the 

fourth quarter of 2010. For male veterans, unemployment 

rates ranged from a low of 6.7 percent for those who served 

during Gulf War era I to a high of 10.8 percent for veterans 

of Gulf War era II. For each period of service, unemployment rates for male veterans changed little during 2010.

At the end of 2010, labor force participation rates and unemployment rates for both persons with and without a disability 

were little changed from their year-earlier levels. The labor 

force participation rate for persons with a disability in 

the fourth quarter of 2010 was 21.3 percent, compared 

with a rate of 69.7 percent for those without a disability. 

(See table 8.) At the end of 2010, the unemployment rate 

for persons with a disability was 14.5 percent, while that 

for persons without a disability was 9.0 percent. Labor 

force participation rates and unemployment rates for both 

groups changed little during the year.16

 Employment status of the foreign- and native-born populations by sex, not seasonally adjusted quarterly 

averages, 2009–10

[Levels in thousands]

Employment status and 

nativity 

Both sexes Men Women

Quarter IV

2009

Quarter IV

2010

Change, 

quarter IV 

2009 to

quarter IV 

2010

Quarter IV

2009

Quarter IV

2010

Change, 

quarter IV

 2009

to quarter 

IV 2010

Quarter IV

2009

Quarter IV

2010

Change, 

quarter IV 

2009 to 

quarter IV 

2010

Foreign born, 16 years 

and older

 Civilian labor force ................ 24,157 24,700 543 14,292 14,410 118 9,864 10,290 426

 Participation rate................. 67.7 67.8 .1 79.7 79.8 .1 55.5 56.1 .6

 Employed............................... 21,746 22,274 528 12,799 12,984 185 8,947 9,290 343

 Employment-population

 ratio........................................ 60.9 61.2 .3 71.4 71.9 .5 50.4 50.6 .2

 Unemployed ......................... 2,411 2,427 16 1,494 1,427 –67 918 1,000 82

 Unemployment rate......... 10.0 9.8 –.2 10.5 9.9 –.6 9.3 9.7 .4

Native born, 16 years 

and older

 Civilian labor force ................ 129,312 128,802 –510 67,267 67,200 –67 61,865 61,602 –263

 Participation rate................. 64.2 63.7 –.5 69.6 68.9 –.7 59.3 58.8 –.5

 Employed............................... 116,979 117,167 188 60,110 60,595 485 56,869 56,572 –297

 Employment-population 

 ratio.................................... 58.2 57.9 –.3 62.2 62.1 –.1 54.5 54.0 –.5

 Unemployed ......................... 12,153 11,634 –519 7,157 6,605 –552 4,997 5,029 32

 Unemployment rate......... 9.4 9.0 –.4 10.6 9.8 –.8 8.1 8.2 .1

NOTE: The foreign born are those residing in the United States who 

were not U.S. citizens at birth. That is, they were born outside the United 

States or one of its outlying areas such as Puerto Rico or Guam, to parents 

who both were not U.S. citizens. The native born are persons who were 

born in the United States or one of its outlying areas such as Puerto Rico 

or Guam or who were born abroad of at least one parent who was a U.S. 

citizen. Updated population controls are introduced annually with the 

release of January data.

 Table 9. 
Monthly Labor Review • March 2011 21

The low labor force participation rate among persons 

with a disability is due partly to the fact that a large share 

of the population of persons with a disability—45 percent 

in the fourth quarter of 2010—is 65 years and older, and 

older workers, in general, have low rates of labor force participation. However, even for persons 16 to 64 years, those 

with a disability were much less likely to be in the labor 

force than their counterparts with no disability. 

Both foreign- and native-born individuals continued to be 

adversely affected by poor labor market conditions. In the 

fourth quarter of 2010, foreign-born workers represented 

16.1 percent of the U.S. civilian labor force 16 years and 

older. Foreign-born workers are persons who reside in 

the United States but were born outside the country or 

outside one of its outlying areas (such as Puerto Rico or 

Guam) to parents who were not U.S. citizens. The foreign 

born comprise legally admitted immigrants, refugees, and 

temporary residents such as students and temporary workers, as well as undocumented immigrants. In the fourth 

quarter of 2010, 67.8 percent of the foreign born, or 24.7 

million individuals, were in the labor force, about the same 

proportion as a year earlier. By comparison, the labor force 

participation rate of native-born workers fell over the year, 

to 63.7 percent in the fourth quarter of 2010. (See table 9.)

From the fourth quarter of 2009 to the fourth quarter 

of 2010, the employment-population ratio for the foreign 

born edged up to 61.2 percent, while that for the native 

born declined to 57.9 percent. The unemployment rate for 

the native born declined in 2010, while that for the foreign born showed little change; by the end of the year, the 

unemployment rate for the native born was 9.0 percent, 

while that for the foreign born was 9.8 percent.

CPS DATA INDICATE CONTINUED WEAKNESS in 

the labor market in 2010 despite a drop in the unemployment rate in the first quarter of the year. The employmentpopulation ratio changed little over the year, and the labor 

force participation rate edged down. Fewer individuals 

were unemployed because of job loss, but the unemployed 

included a growing proportion of the long-term jobless, whose number reached a record high in mid-2010. 

In addition, the number of persons employed part time 

for economic reasons remained at historically high levels. Median weekly earnings for full-time wage and salary 

workers overall increased at a slower rate than inflation 

and posted the smallest rise in earnings since the inception of the series three decades ago. 

Notes

1 The National Bureau of Economic Research (NBER), the generally 

recognized arbiter of recessions in the United States, has determined 

that June 2009 was the endpoint of the recession that began in 

December 2007. 

2 The data in this article are based on information collected in the 

Current Population Survey (CPS)–also called the household survey–a 

sample survey of about 60,000 households nationwide conducted 

for the Bureau of Labor Statistics by the Census Bureau. (For more 

information about the household survey, see the box on page 4.) 

Although the CPS is a monthly survey, the data analyzed throughout 

the article are seasonally adjusted quarterly averages, unless otherwise 

noted. All over-the-year changes are comparisons of fourth-quarter 

data from 2009 with those from 2010.

3 The employment-population ratio is the proportion of the civilian 

noninstitutional population 16 years and older that is employed.

4 For more information on the labor market’s performance during 

the most recent recession, see James M. Borbely, “Sizing up the 

2007–09 recession: comparing two key labor market indicators with 

earlier downturns,” Issues in Labor Statistics, Summary 10-11 (Bureau 

of Labor Statistics, December 2010), on the Internet at www.bls.gov/

opub/ils/pdf/opbils88.pdf (visited February 9, 2011).

5 Duration of joblessness is the length of time (through the current 

reference week) that people classified as unemployed have been looking 

for work. This measure refers to the current spell of unemployment 

rather than to the duration of a completed spell.

6 For additional analysis, see Thomas Luke Spreen, “Ranks of those 

unemployed for a year or more up sharply,” Issues in Labor Statistics, 

Summary 10–10 (Bureau of Labor Statistics, October 2010), on the 

Internet at www.bls.gov/opub/ils/pdf/opbils87.pdf (visited February 

9, 2011).

7 For more information and analysis of recent data, see Harley J. 

Frazis, “Labor force flows in the most recent recession,” Issues in Labor 

Statistics, Summary 10–08 (Bureau of Labor Statistics, July 2010), 

on the Internet at http://www.bls.gov/opub/ils/pdf/opbils85.pdf

(visited February 15, 2011); and Harley J. Frazis and Randy E. Ilg, 

“Trends in labor force flows during recent recessions,” Monthly Labor 

Review, April 2009, pp.3–18, on the Internet at www.bls.gov/opub/

mlr/2009/04/art1full.pdf (visited February 9, 2011).

8 For additional information, see Emy Sok, “Involuntary part-time 

work on the rise,” Issues in Labor Statistics, Summary 08–08 (Bureau 

of Labor Statistics, December 2008), on the Internet at www.bls.gov/

opub/ils/pdf/opbils71.pdf (visited February 9, 2011).

9 “Persons not in the labor force who want a job” is a measure of 

persons who reported wanting a job without having necessarily looked 

for one; this group includes all persons who responded “yes” to the 

question, “Do you currently want a job, either full or part time?”

10 For additional analysis of persons marginally attached to the 

labor force, see Sharon Cohany, “Ranks of Discouraged Workers 

and Others Marginally Attached to the Labor Force Rise During 

Recession,” Issues in Labor Statistics, Summary 09–04 (Bureau of Labor 

Statistics, April 2009), on the Internet at http://www.bls.gov/opub/

ils/pdf/opbils74.pdf (visited February 9, 2011).

11 For further information, see Steven E. Haugen, “Measures of 

Labor Underutilization from the Current Population Survey,” Working 
U.S. Labor Market in 2010

22 Monthly Labor Review • March 2011

Paper 424 (Bureau of Labor Statistics, March 2009), on the Internet 

at www.bls.gov/osmr/pdf/ec090020.pdf (visited February 9, 2011).

12 See Abraham Mosisa and Steven Hipple, “Trends in labor force 

participation in the United States,” Monthly Labor Review, October 

2006, pp. 35–57; on the Internet at www.bls.gov/opub/mlr/2006/10/

art3full.pdf (visited March 17, 2011).

13 For further analysis of labor force participation by age, see 

Andrew Sum and Joseph McLaughlin, “Out with the young and 

in with the old: U.S. labor markets 2000–2008 and the case for an 

immediate jobs creation program for teens and young adults,” (Boston, 

Center for Labor Market Studies Publications, Paper 18, December 

2008), on the Internet at http://hdl.handle.net/2047/d20000601

(visited February 9, 2011).

14 For additional analysis of recent trends in the labor force status 

of older workers, see Emy Sok, “Record unemployment among older 

workers does not keep them out of the job market,” Issues in Labor 

Statistics, Summary 10–04 (Bureau of Labor Statistics, March 2010), 

on the Internet at www.bls.gov/opub/ils/pdf/opbils81.pdf (visited 

February 9, 2011).

15 Veterans who served in more than one wartime period are 

classified only in the most recent one.

16 For more information about CPS data on people with a disability, 

see “Frequently asked questions about disability data,” on the Internet 

at www.bls.gov/cps/cpsdisability_faq.htm (visited February 9, 2011).