Black Employm ent an d Unemploymen t July Page 1

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1 August 3, 2012 DATA BRIEF: Black Employment and Unemployment in July 2012 The unemployment rate for Blacks was 14.1% last month. This is according to the latest report on the nation s employment situation released Friday morning by the Bureau of Labor Statistics in its monthly Employment Situation report. This rate was a decrease from June, when unemployment in the Black community stood at 14.4%. For the nation as a whole, unemployment was 8.3% in the month of July; this was virtually unchanged from June when the national unemployment rate stood at 8.2%. Among whites, unemployment was 7.4%; among Latinos, unemployment was 10.3%. Comparable June 2012 figures were 7.4% and 11.0% respectively. Overall, total non-farm payroll employment increased by 163,000 jobs from last month. FIGURE 1 Unemployment Rates - July Latino Bureau of Labor Statistics Black Employm ent an d Unemploymen t July Page 1

2 Unemployment The unemployment rate represents the percentage of the civilian labor force that is unemployed. To be counted as officially unemployed, an individual must not have had a job and must have actively looked for work in the last month. During July, the unemployment rate for Blacks, 16 years of age and older, was 14.1%. This was a decrease from 14.4% in June. For Black women, unemployment was 12.5% (a decrease from 13.7% in June). For Black men, unemployment was 15.8% (an increase from 15.1% in June). Table 1 presents these data for the months of December 2007 (the beginning of the Great Recession); June 2009 (the official end of the Great Recession); June 2011; and July FIGURE 2 Black Unemployment (16+) All Male Female Source: Bureau of Labor Statistics December 2007 was the first month of the recession, and June 2009 was the last month of the recession. Both are included for comparison. 1 This report was produced with the support of a grant from the Open Society Foundation s Campaign for Black Male Achievement. 2 All statistics in this report are seasonally adjusted data from the Current Population Survey. Black Employm ent an d Unemploymen t July Page 2

3 For Black teens (16-19), unemployment was 36.6% (a decrease from 39.3% in June). For Black female teens, unemployment stood at 35.4% (a decrease from 39.6% in June). For Black male teens, unemployment was 37.9% (a decrease from 39.1% in June). Teen unemployment rates are extremely volatile from month to month. FIGURE 3 Black Unemployment (16-19) All Male Female Source: Bureau of Labor Statistics Black Employm ent an d Unemploymen t July Page 3

4 Analyzing Blacks, 20 and over, unemployment stood at 13.1% (a decrease from 13.4% in June). For Black women, ages 20 and over, unemployment stood at 11.5% (a decrease from 12.7% in June). For Black men, ages 20 and over, unemployment was 14.8% (an increase from 14.2% in June). FIGURE 4 Black Unemployment (20+) All Male Female Source: Bureau of Labor Statistics Black Employm ent an d Unemploymen t July Page 4

5 Employment-Population Ratio The employment-population ratio represents the percentage of the population that is employed and it can be interpreted as the probability that a member of the population is employed. It captures employment prospects better than the unemployment rate, since jobless individuals who are not in the labor force (including discouraged workers) are not calculated in the unemployment rate. However, it would be a mistake to conclude that all persons not employed are without a job and desiring employment. Some people might not be employed because of their status as a full-time student, homemaker, retiree, or disabled person. Hence, an employment-population ratio of 60% does not imply an unemployment rate of 40%. In July, the employment-population ratio for Blacks, 16 and over, was 52.8%. This was a slight decrease from 53.1% in June. For Black women, the employment-population ratio stood at 52.0% (unchanged from 52.0% in June). For Black men, the employmentpopulation ratio was 53.8% (a decrease from 54.5% in June). FIGURE 5 Black Employment Population Ratio (16+) All Male Female Source: Bureau of Labor Statistics Black Employm ent an d Unemploymen t July Page 5

6 For Black teens, the employment-population ratio was 18.5% (an increase from 16.8% in June). For Black female teens, ages 16-19, the employment-population ratio stood at 19.4% (an increase from 18.0% in June). For Black male teens, 16-19, the employmentpopulation ratio was 17.6% (an increase from 15.7% in June). As with the monthly teen unemployment rates, these figure are very volatile. FIGURE 6 Black Employment Population Ratio (16-19) All Male Female Source: Bureau of Labor Statistics Black Employm ent an d Unemploymen t July Page 6

7 Analyzing Blacks, 20 and over, the employment-population ratio stood at 56.1% (a decrease from 56.6% in June). For Black women, ages 20 and over, the employmentpopulation ratio stood at 54.8% (a very slight decrease from 55.0% in June). For Black men, ages 20 and over, the employment-population ratio was 57.7% (a decrease from 58.7% in June). FIGURE 7 Black Employment Population Ratio (20+) All Male Female Source: Bureau of Labor Statistics Black Employm ent an d Unemploymen t July Page 7

8 Appendices Definitions 9 Figures A1-A3: Unemployment by race 10 Figures A4-A6: Teen Unemployment by race 11 Figures A7-A9: Adult Unemployment by race 12 Figures A10-A12: Employment-Population Ratios by race 13 Figures A13-A15: Teen Employment-Population Ratios by race 14 Figures A16-A18: Adult Employment-Population Ratios by race 15 Table A1: Unemployment: All 16 Table A2: Unemployment: White 17 Table A3: Unemployment: Black 18 Table A4: Employment-Population Ratios: All 19 Table A5: Employment-Population Ratios: White 20 Table A6: Employment-Population Ratios: Black 21 The Bureau of Labor Statistics does not release comparable data for Latinos. Black Employm ent an d Unemploymen t July Page 8

9 Definitions Each month, the Bureau of Labor Statistics surveys approximately 60,000 households reporting information on the labor market activity of the civilian noninstitutionalized population that is 16 years of age or older. (Members of the armed services and persons in prisons, mental institutions, and homes for the elderly and disabled are not included) From this information, an individual s labor status is determined to fall into one of three broad categories: Employed. Persons will be considered employed if (during the survey week) they did paid work for at least 1 hour; worked in their own firm; worked unpaid for at least 15 hours for a family business; or were temporarily absent from work for a variety of reasons. (Work in their own home is not included.) Unemployed. Persons will be considered unemployed if (during the survey week) they did not have a job, but they were available to work and sought work during the preceding month. (Laid off workers awaiting recall are labeled as unemployed.) Not in the Labor Force. Those persons not considered employed or unemployed are classified as not in the labor force. The Civilian Labor Force represents the total number of employed and unemployed persons. Given these basic concepts, the following rates can be calculated: Unemployment Rate. The unemployment rate is the proportion of the civilian labor force that was unemployed. (The ratio of the unemployed (U) and the civilian labor force (CLF): U% = U/CLF.) Please note: persons can be jobless, but unemployed if they are not seeking employment. Hence the unemployment rate understates the amount of joblessness. Employment-Population Ratio. The employment-population ratio is the proportion of the population that is employed. (The ratio of the employed (EMP) and the population (POP): Emp-Pop Ratio = EMP/POP.) For more information, please consult the website of the Bureau of Labor Statistics: and Black Employm ent an d Unemploymen t July Page 9

10 Figures A1-3 Unemployment by Race Unemployment (16+) FIGURE A1 Male Unemployment (16+) FIGURE A2 Female Unemployment (16+) FIGURE A3 Black Employm ent an d Unemploymen t July Page 10

11 Figures A4-6 Teen Unemployment by Race 16.8 Unemployment (16-19) FIGURE A4 Male Unemployment (16-19) FIGURE A5 Female Unemployment (16-19) FIGURE A6 Black Employm ent an d Unemploymen t July Page 11

12 Figures A7-9 Adult Unemployment by Race Unemployment (20+) FIGURE A7 Male Unemployment (20+) FIGURE A8 Female Unemployment (20+) FIGURE A9 Black Employm ent an d Unemploymen t July Page 12

13 Figures A10-12 Unemployment Population Ratios by Race Employment Population Ratio (16+) FIGURE A10 Male Employment Population Ratio (16+) FIGURE A11 Female Employment Population Ratio (16+) FIGURE A12 Black Employm ent an d Unemploymen t July Page 13

14 Figures A13-15 Employment Population Ratio (16-19) Teen Unemployment Population Ratios by Race FIGURE A13 Male Employment Population Ratio (16-19) FIGURE A14 Female Employment Population Ratio (16-19) FIGURE A15 Black Employm ent an d Unemploymen t July Page 14

15 Figures A16-18 Adult Unemployment Population Ratios by Race Employment Population Ratio (20+) FIGURE A16 Male Employment Population Ratio (20+) FIGURE A17 Female Employment Population Ratio (20+) FIGURE A18 Black Employm ent an d Unemploymen t July Page 15

16 TABLE A1 Unemployment Rate: All All Men Women All All All December January February March April May June July August September October November December January February March April May June July August September October November December January February March April May June July Black Employm ent an d Unemploymen t July Page 16

17 Table A2 Unemployment Rate: Whites All Men Women All All All December January February March April May June July August September October November December January February March April May June July August September October November December January February March April May June July Black Employm ent an d Unemploymen t July Page 17

18 Table A3 Unemployment Rate: Blacks All Men Women All All All December January February March April May June July August September October November December January February March April May June July August September October November December January February March April May June July Black Employm ent an d Unemploymen t July Page 18

19 Table A4 Employment-Population Ratio: All All Men Women All All All December January February March April May June July August September October November December January February March April May June July August September October November December January February March April May June July Black Employm ent an d Unemploymen t July Page 19

20 Table A5 Employment-Population Ratio: Whites All Men Women All All All December January February March April May June July August September October November December January February March April May June July August September October November December January February March April May June July Black Employm ent an d Unemploymen t July Page 20

21 Table A6 Employment-Population Ratio: Blacks All Men Women All All All December January February March April May June July August September October November December January February March April May June July August September October November December January February March April May June July Black Employm ent an d Unemploymen t July Page 21

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