U.S. gains jobs in Aug. but manufacturing loses

WASHINGTON (Sept. 4, 2015) — U.S. total nonfarm employment increased by 173,000 jobs in August, while the national unemployment rate fell to 5.1 percent from July's 5.3, according to the latest figures from the Bureau of Labor Statistics (BLS).

However, U.S. manufacturing lost 17,000 jobs during the month, which caused fresh denunciations of China's manufacturing and currency policies from U.S. sources.

Big employment gains were scored in healthcare and social assistance (up 56,000 jobs), professional and business services (up 33,000), food services and drinking places (up 26,000), and financial activities (up 19,000).

Mining employment dropped by 9,000, however, while the jobs picture in wholesale and retail trade, transportation and warehousing, construction and government was virtually unchanged in August, according to the BLS.

“That was a terrible jobs report for manufacturing,” said Scott Paul, president of the Alliance for American Manufacturing, regarding the August figures.

“Asian currency devaluations, an overly strong dollar, and weakness in China are all taking their toll on factory jobs,” Mr. Paul said. “Developments in September could make matters even worse.

“Will the Obama administration hold China accountable for cheating, or instead offer even more concessions when President Xi Jinping visits?” he asked.

Meanwhile, the payroll services firm ADP Inc. released its own monthly employment report, saying the U.S. added 190,000 nonfarm payroll jobs in August.

Small businesses again led job creation in the ADP report, with 50,000 new jobs in companies of one to 19 employees and another 35,000 in companies with 20 to 49 employees.

Medium-sized businesses — those with 50 to 499 employees — added 66,000 new jobs in August, according to ADP. Companies with 500 to 999 employees created only 5,000 jobs during the month, while businesses with 1,000 or more employees adding 34,000, the report said.

Of the 190,000 new jobs, 173,000 were in service-producing industries and 17,000 in goods producers, according to ADP.

In franchise businesses, the U.S. added 22,800 jobs in August, including 7,260 in auto parts and dealers, the firm said.