Charting the U.S. Labor
Market in 2006
U.S. Department of Labor
Bureau of Labor Statistics
August 2007
Charting the U.S. labor market in 2006
• This report includes graphs and text describing the U.S. labor market in 2006.
Highlights include information about educational attainment, race and Hispanic
ethnicity, women, and families.
• These data were compiled from several statistical programs of the Bureau of
Labor Statistics and are presented together to give an overview of the
employment and unemployment situation for the nation that presents both
recent data and historical trends over time.
Table of contents
Section 1. Major indicators
Section 2. Education
Section 3. Employment relationships
Section 4. Race and Hispanic ethnicity
Section 5. Women
Section 6. Families
Section 1
Major Indicators
Chart 1-1. More than half of the population 16 years and
over works full time
Employed full time
(119.1 million)
Others not in
the labor force
(75.9 million)
Employed part time for
noneconomic reasons
(21.2 million)
Employed part time for
economic reasons
(4.2 million)
Unemployed (7.0 million)
2006
SOURCE: Bureau of Labor Statistics
Marginally attached workers,
including discouraged workers
(1.4 million)
Chart 1-1. More than half of the population 16 years and
over works full time
• More than half of the 229 million persons in the civilian noninstitutional
working-age population in 2006 were employed full time. An additional 11
percent were working part time, with a large majority of these workers
preferring a part-time schedule.
• Of the third of the population not in the labor force (neither working nor
looking for work), a relatively small number (1.4 million) were classified as
"marginally attached" workers—persons who want to work, are available for
work, and had looked for a job in the past year but are not currently looking
either because they are discouraged about job prospects or because certain
conditions, like family responsibilities, impede their entry into the job market.
• The vast majority of persons not in the labor force do not want to work.
Chart 1-2. The unemployment rate is down from its most
recent peak in June 2003
Percent
12
12
10
10
8
8
6
6
4
4
2
2
0
1970
0
1973
1976
1979
1982
1985
1988
1991
1994
1997
2000
2003
2006
NOTE: Shaded areas represent recessions. Data are seasonally adjusted.
SOURCE: Bureau of Labor Statistics
Chart 1-2. The unemployment rate is down from its most
recent peak in June 2003
• The unemployment rate rose from 4.3 percent at the onset of the most recent
recession in March 2001 (as designated by the National Bureau of Economic
Research) to 6.3 percent in June 2003. It had declined to 4.5 percent by
December 2006.
• At the onset of the recession in March 2001, some 11 percent of unemployed
persons had been looking for work for 27 weeks or longer. This share of the
unemployed accounted for by long-term unemployed rose to nearly 24 percent
by March 2004 before declining to 16 percent at the end of 2006.
Chart 1-3. In 2006, unemployment rates were lowest in the
Mountain States and highest in the East North Central States
Mountain
WASH.
West
North Central
New England
MONT.
ORE.
East
North Central
N.D.
MINN.
IDAHO
S.D.
N.H.
WIS.
WYO.
NEV.
MAINE
VT.
Middle
Atlantic
CONN. R.I.
IOWA
NEB.
#
#
PA.
N.J.
#
CALIF.
UTAH
ILL.
COLO.
MASS.
#
N.Y.
MICH.
OHIO
IND.
MD.
KAN.
#
MO.
#
W.VA.
KY.
DEL.
VA.
ARIZ.
D.C.
TENN.
N.M.
OKLA.
N.C.
ARK.
Pacific
MISS.
S.C.
ALA.
GA.
South
Atlantic
TEXAS
LA.
Unemployment rate
East
South Central
West
South Central
FLA.
6.0% or more
5.0% to 5.9%
4.0% to 4.9%
ALASKA
HAWAII
3.0% to 3.9%
2.9% or below
NOTE: Data are 2006 annual averages.
SOURCE: Bureau of Labor Statistics
Chart 1-3. In 2006, unemployment rates were lowest in the
Mountain States and highest in the East North Central States
• In 2006, Hawaii recorded the lowest unemployment rate among the states, at
2.4 percent. Utah had the next lowest rate (2.9 percent), followed closely by
Nebraska and Virginia (3.0 percent each).
• The highest unemployment rates were reported in Michigan (6.9 percent),
Mississippi (6.8 percent), Alaska (6.7 percent), and South Carolina (6.5
percent).
• In 2006, eight states registered the lowest annual jobless rates in their series
(which began in 1976): Alabama (3.6 percent), Florida (3.3 percent), Idaho
(3.4 percent), Louisiana (4.0 percent), Montana (3.2 percent), New Mexico (4.2
percent), Utah (2.9 percent), and West Virginia (4.9 percent).
Chart 1-4. From the onset of the recession to the end of 2006,
labor force participation rates were down, except among
older workers
Percentage points
8.0
5.7
6.0
4.0
2.0
0.0
-2.0
-0.5
-0.8
-1.4
-4.0
-4.8
-6.0
Total, 16 years and Both sexes, 16 to
over
24
Men, 25 to 54
Women, 25 to 54
Both sexes, 55
years and over
Change in labor force participation rates (seasonally adjusted),
March 2001 to December 2006
NOTE: As defined by the National Bureau of Economic Research (NBER), the recession lasted from March to November 2001.
SOURCE: Bureau of Labor Statistics
Chart 1-4. From the onset of the recession to the end of 2006,
labor force participation rates were down, except among older
workers
• The participation rate of youth 16 to 24 years old fell by about 5 percentage
points between March 2001 and December 2006. The rates for men and
women ages 25 to 54 years were down slightly over that period.
• The labor force participation rate for persons 55 years and over has increased
since the early 1990s. From the onset of the recession in March 2001 to
December 2006, the rate rose by nearly 6 percentage points.
• While men ages 55 and older are more likely than their female counterparts to
participate in the labor force, the increase in the participation rate for women
was slightly larger than that for men.
Chart 1-5. The percentage of the population that is employed
has trended up since September 2003
Percent
66
66
64
64
62
62
60
60
58
58
56
56
54
54
1970
1973
1976
1979
1982
1985
1988
1991
1994
1997
2000
2003
2006
NOTE: Shaded areas represent recessions. Data are seasonally adjusted.
SOURCE: Bureau of Labor Statistics
Chart 1-5. The percentage of the population that is employed
has trended up since September 2003
• The proportion of the population 16 years and over that is employed fell from a
pre-recession peak of 64.7 percent in April 2000 to 62.0 percent in September
2003. The ratio has trended up since then.
• While the employment-population ratio rose to 63.4 percent by the end of
2006, it was still well below its pre-recession peak.
Chart 1-6. By the end of 2006, nonfarm payroll employment
had risen by 7.3 million since its recent low in August 2003
Employment in thousands
140,000
140,000
130,000
130,000
120,000
120,000
110,000
110,000
100,000
100,000
90,000
90,000
80,000
80,000
70,000
70,000
60,000
60,000
1970
1973
1976
1979
1982
1985
1988
1991
1994
1997
2000
2003
2006
NOTE: Shaded areas represent recessions. Data are seasonally adjusted.
SOURCE: Bureau of Labor Statistics
Chart 1-6. By the end of 2006, nonfarm payroll employment
had risen by 7.3 million since its recent low in August 2003
• Nonfarm payroll employment fell by about 2.7 million from the beginning of
the recession in March 2001 to August 2003.
• Between August 2003 and December 2006, payroll employment increased by
about 7.3 million, with large gains in construction, professional and business
services, private education and health services, and leisure and hospitality.
Chart 1-7. Private payroll employment has increased since
August 2003
Employment in thousands
116,000
116,000
115,000
115,000
114,000
114,000
113,000
113,000
112,000
112,000
111,000
111,000
110,000
110,000
109,000
109,000
108,000
108,000
107,000
107,000
106,000
1999
106,000
2000
2001
2002
2003
2004
2005
2006
NOTE: Shaded area represents recession. Data are seasonally adjusted.
SOURCE: Bureau of Labor Statistics
Chart 1-7. Private payroll employment has increased since
August 2003
• Private nonfarm employment fell sharply during 2001. The pace of
employment declines slowed markedly in 2002.
• Private payroll employment has increased since August 2003. By December
2006, about 6.8 million private sector jobs had been added.
Chart 1-8. Employment rose in most industries from August
2003 to December 2006
Natural resources and mining
Construction
Manufacturing
Wholesale trade
Retail trade
Transportation and warehousing
Utilities
Information
Financial activities
Professional and business services
Education and health services
Leisure and hospitality
Other services
Government
-500
SOURCE: Bureau of Labor Statistics
135
923
-236
368
423
352
Total nonfarm employment
+7.3 million
-25
-91
434
1,816
1,466
1,209
48
527
0
500
1,000
1,500
2,000
Employment change (seasonally adjusted, in thousands),
August 2003 to December 2006
Chart 1-8. Employment rose in most industries from August
2003 to December 2006
• Job growth from August 2003 to the end of 2006 was fairly widespread among
the major industry sectors. Employment gains in professional and business
services, in education and health services, and in leisure and hospitality
accounted for about 60 percent of total job growth over the time period.
• Between August 2003 and December 2006, employment declined in
manufacturing and in information.
Chart 1-9. Manufacturing employment has edged down since
2004, following 3 years of sharp declines
Employment in thousands
18,000
18,000
17,500
17,500
17,000
17,000
16,500
16,500
16,000
16,000
15,500
15,500
15,000
15,000
14,500
14,500
14,000
14,000
13,500
13,500
13,000
1999
13,000
2000
2001
2002
2003
2004
2005
2006
NOTE: Shaded area represents recession. Data are seasonally adjusted.
SOURCE: Bureau of Labor Statistics
Chart 1-9. Manufacturing employment has edged down since
2004, following 3 years of sharp declines
• Over the 2001 to 2003 period, manufacturing lost 2.9 million jobs (measured
December 2000 to December 2003). Over the 2004 to 2006 period, the number
of factory workers edged down by 165,000.
• At 41.1 hours per week in 2006, the factory workweek nearly returned to the
41.3 hour manufacturing workweek that prevailed in 2000 (annual average
data).
Chart 1-10. Total nonfarm employment continued to rise
across most of the Nation in 2006
Mountain
WASH.
West
North Central
New England
MONT.
ORE.
East
North Central
N.D.
MINN.
IDAHO
S.D.
N.H.
WIS.
WYO.
NEV.
MAINE
VT.
Middle
Atlantic
CONN. R.I.
IOWA
NEB.
#
#
PA.
N.J.
#
CALIF.
UTAH
ILL.
COLO.
MASS.
#
N.Y.
MICH.
OHIO
IND.
MD.
KAN.
#
MO.
#
DEL.
W.VA.
KY.
VA.
ARIZ.
D.C.
TENN.
N.M.
OKLA.
N.C.
ARK.
Pacific
MISS.
S.C.
ALA.
GA.
South
Atlantic
TEXAS
LA.
Percentage change
East
South Central
West
South Central
FLA.
3.0% and over
2.0% to 2.9%
1.0% to 1.9%
ALASKA
HAWAII
0.0% to 0.9%
-0.1% or below
NOTE: Percent change in nonfarm payroll employment from 2005 to 2006, annual averages.
SOURCE: Bureau of Labor Statistics
Chart 1-10. Total nonfarm employment continued to rise
across most of the Nation in 2006
• Employment increased in 48 states and the District of Columbia, with 38 states
posting increases of 1.0 percent or more over the year. Employment was down
in two states, Louisiana and Michigan.
• The largest over-the-year increases in employment occurred in states of the
Mountain division: Arizona (5.4 percent), Wyoming (4.9 percent), Nevada and
Utah (4.8 percent each), and Idaho (4.6 percent).
• Reflecting the continuing impact of Hurricane Katrina, Louisiana recorded the
largest percentage decrease in employment (-1.9 percent) from 2005 to 2006.
Chart 1-11. The job openings rate generally has moved in the
opposite direction of the unemployment rate
Percent
7
7
6
6
5
5
Unemployment rate
4
4
3
3
Job openings rate
2
2
1
1
0
0
2001
2002
2003
2004
2005
2006
NOTE: Shaded area represents recession. Data are seasonally adjusted.
SOURCE: Bureau of Labor Statistics
Chart 1-11. The job openings rate generally has moved in the
opposite direction of the unemployment rate
• The job openings rate (the number of job openings as a percent of employment
plus job openings) decreased during the 2001 recession. As the job openings
rate edged up from mid-2003 forward, the unemployment rate declined.
• Both the unemployment rate and the job openings rate are approaching their
pre-recession levels.
Chart 1-12. Since early 2003, the number of hires generally
has exceeded separations
Thousands
6,000
6,000
5,500
5,500
Hires
5,000
4,500
5,000
4,500
Separations
4,000
4,000
3,500
3,500
3,000
3,000
2001
2002
2003
2004
2005
2006
NOTE: Shaded area represents recession. Data are seasonally adjusted.
SOURCE: Bureau of Labor Statistics
Chart 1-12. Since early 2003, the number of hires generally
has exceeded separations
• The average number of monthly hires and separations rose through 2003 and
2004, but showed little net change in 2005. Hires and separations edged up in
2006, with an average of about 5.0 million hires and 4.6 million separations per
month.
• The number of hires and separations each month demonstrates that the amount
of churn in the labor market dwarfs net changes in employment.
Chart 1-13. The number of mass layoff events spiked in
September 2005 after the Gulf Coast hurricanes
Number of mass layoff events
2,500
2,500
2,000
2,000
1,500
1,500
1,000
1,000
500
500
0
0
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
NOTE: Shaded area represents recession. Data are seasonally adjusted.
SOURCE: Bureau of Labor Statistics
Chart 1-13. The number of mass layoff events spiked in
September 2005 after the Gulf Coast hurricanes
• A mass layoff event occurs when fifty or more initial claims for unemployment
insurance benefits are filed against an establishment during a 5-week period.
• The number of mass layoff events spiked in September 2005 in the aftermath
of the Gulf Coast hurricanes, with 2,217 layoff actions affecting about 292,000
workers. The number of layoff actions had been on a declining trend since
September 2001.
• During 2006, 13,998 total mass layoff events occurred in the nation, resulting
in 1,484,391 initial claims filings for unemployment insurance. In 2005, there
were 16,466 events and 1,795,341 initial claimants. The total number of initial
claims for 2006 was the lowest reported for any January-December period
since 1996.
Chart 1-14. In 2006, nearly forty percent of workers
separated from their jobs due to the relocation of work were
separated due to out-of-country relocations
Separations due to out-ofcountry relocations
(39.3 percent)
Separations due to
domestic relocations
(60.7 percent)
Total = 34,036 workers
2006
NOTE: Data refer to extended mass layoffs (private sector nonfarm employers indicated that 50 or more workers were separated
from their jobs for at least 31 days) in which the employer reports that work was relocated. These movements of work were to other
U.S. locations or to locations outside of the U.S., and they occurred either within the same company or to other companies.
SOURCE: Bureau of Labor Statistics
Chart 1-14. In 2006, nearly forty percent of workers
separated from their jobs due to the relocation of work were
separated due to out-of-country relocations
• Of the 34,036 workers separated from their jobs in 2006 due to the relocation
of work, the separation of about forty percent (13,367 workers) was associated
with the movement of work outside of the country. Domestic relocation—both
within the company and to other companies—affected 20,669 workers.
• Extended mass layoffs and separations associated with the movement of work,
domestically or overseas, reflect job loss where at least 50 people filed for
unemployment insurance during a 5-week period and the layoff lasted more
than 30 days. The extended mass layoff statistics and movement of work
measures, therefore, do not reflect layoffs of fewer than 50 workers at these
companies, nor does the program capture layoffs occurring at establishments
with fewer than 50 workers. Moreover, these data do not cover situations in
which firms initiate or transfer work to new locations when there are no layoffs
involved.
Chart 1-15. Consumer prices usually increase more slowly
than private employers' compensation costs
Percent change from previous year
12
12
10
10
8
8
Employment Cost Index
6
6
4
4
2
2
Consumer Price Index
0
0
1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006
NOTE: The Employment Cost Index is for private-sector workers. Beginning in 2001, data reflect NAICS-based classification of
industries. The Consumer Price Index is the CPI-U-RS research series as of April 2007.
SOURCE: Bureau of Labor Statistics
Chart 1-15. Consumer prices usually increase more slowly
than private employers' compensation costs
• The Employment Cost Index (ECI) measures the costs to employers of both
employee wages and benefits, and the Consumer Price Index (CPI) measures
the average change in prices paid by consumers for a variety of goods and
services.
• Changes in the ECI and the CPI have tracked fairly closely over time, though
increases in the CPI tend to be smaller than those for the ECI.
• In 2005 and 2006, however, increases in consumer prices exceeded growth in
private employers' compensation costs.
Chart 1-16. Increases in employer costs for wages and
salaries matched gains in benefit costs in 2006
Percent change from previous year
15
15
12
12
9
Benefits
9
6
6
3
3
Wages and salaries
0
0
1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006
NOTE: The Employment Cost Index components are for private-sector workers. Beginning in 2001, data reflect NAICS-based
classification of industries.
SOURCE: Bureau of Labor Statistics
Chart 1-16. Increases in employer costs for wages and
salaries matched gains in benefit costs in 2006
• In the private sector, benefit costs rose 3.1 percent for the year ending
December 2006, comparable to an increase of 3.2 percent for wages and
salaries. Increases in employer costs for benefits had outpaced gains in wages
from 2000-2005.
• The cost of benefits typically has risen at a faster pace than wages, although,
for a period in the late-1990s, growth in the cost of benefits fell below that of
wages.
Chart 1-17. Labor productivity began to accelerate in the
mid-1990s, led by gains in manufacturing
Growth in output per hour of all persons, nonfarm
business sector, 1979-2006
5.0
Growth in output per hour of all persons,
manufacturing sector, 1987-2006
5.0
Percent per year
Percent per year
4.7
4.2
4.0
4.0
3.4
2.8
3.0
3.0
2.5
2.0
2.0
1.4
1.5
1.7
1.0
1.0
0.0
0.0
1979-1990
1990-1995
1995-2000
2000-2006
1987-1990
1990-1995
1995-2000
2000-2006
SOURCE: Bureau of Labor Statistics
Chart 1-17. Labor productivity began to accelerate in the
mid-1990s, led by gains in manufacturing
• Labor productivity relates changes in the real production of goods and services
to changes in the hours of all persons working in a sector.
• Since 1990, labor productivity growth has averaged 2.3 percent per year in the
total nonfarm business sector and 4.1 percent per year in manufacturing.
• In contrast to earlier long economic expansions, the expansion of the 1990s was
marked by higher productivity growth in the latter part of the cycle. Nonfarm
business productivity grew by 1.5 percent per year from 1990 to 1995 and by
2.5 percent in the 1995 to 2000 period.
• Higher rates of productivity growth have continued into the current period.
Since 2000, labor productivity has been rising at a 2.8-percent annual rate in
nonfarm businesses and at a 4.2-percent annual rate in manufacturing.
Chart 1-18. Six of the 10 industries projected to grow the
fastest are health related and one is computer related
Educational support services, private
79
70
Home health care services
68
Software publishers
61
Management, scientific, and technical consulting services
55
Community care facilities for the elderly
Outpatient care centers, except mental health & substance abuse
50
Residential mental health and substance abuse facilities
50
Offices of all other health practitioners
49
Residential mental retardation facilities
47
Facilities support services
47
0
10
20
30
40
50
60
70
80
Percent change in wage and salary employment, projected 2004-2014
SOURCE: Bureau of Labor Statistics
Chart 1-18. Six of the 10 industries projected to grow the
fastest are health related and one is computer related
•
Private educational support services, projected to be the fastest growing
industry over the 2004-2014 period, includes educational consulting, guidance
counseling, and testing organizations.
•
Projected employment growth in health care industries is driven by a growing
and aging population that will demand more medical services, and by medical
advances that create more types of treatment. Six of the 10 industries
projected to grow the fastest are health related, including community care
facilities for the elderly and residential care facilities for mental health and
substance abuse.
•
Information technology will continue to transform the economy and spur job
growth in computer-related industries. Software publishing employment has
more than doubled since 1990; as firms continue to invest heavily in
information technology, employment will continue to grow.
Chart 1-19. Seven of the 10 occupations projected to grow
the fastest are health related and three are computer related
Home health aides
56
55
Network systems and data communications analysts
52
Medical assistants
Physician assistants
50
48
Computer software engineers, applications
44
Physical therapist assistants
Dental assistants
43
Computer software engineers, systems software
43
43
Dental hygienists
41
Personal and home care aides
0
10
20
30
40
50
60
Percent change in wage and salary employment, projected 2004-2014
SOURCE: Bureau of Labor Statistics
Chart 1-19. Seven of the 10 occupations projected to grow
the fastest are health related and three are computer related
•
Health care occupations are expected to grow rapidly over the 2004-2014
period as a growing and aging population continues to demand a high level of
quality health care services. Health care aide and assistant occupations are
projected to grow especially quickly as organizations try to control costs.
Aides and assistants are expected to assume some duties formerly done by
more highly paid health care workers, such as dentists, physicians, and
therapists.
•
Computer occupations also are expected to grow rapidly as new technologies
develop and as computer use expands. However, growth is projected to be
slower than it was in the previous decade due to offshore outsourcing of work
and because the maturing computer industry is not expected to grow quite so
rapidly as in the past.
Section 2
Education
Chart 2-1. The educational attainment of the labor force has
improved over time
Percent of labor force
1970
50
40
2006
38
36
33
30
30
28
20
12
10
14
10
0
Less than a high school
diploma
High school graduates,
no college
Some college or
associate degree
Bachelor's degree and
higher
NOTE: Data are from the March 1970 and March 2006 Current Population Survey and are for persons 25 to 64 years old.
SOURCE: Bureau of Labor Statistics
Chart 2-1. The educational attainment of the labor force has
improved over time
•
Education is an important determinant of labor market outcomes. The more
education a person has, the more likely he or she is to be in the labor force and
the less likely he or she is to be unemployed.
•
The proportion of persons 25 to 64 years old with some college (or an
associate degree) more than doubled between 1970 and 2006. The share with
a bachelor’s degree and higher also more than doubled over the period. In
contrast, the share of the labor force with less than a high school diploma
declined markedly.
Chart 2-2. The higher the education level, the lower the
unemployment rate
Percent
16
16
Less than a high school diploma
14
14
12
12
10
10
High school graduates, no college
8
8
6
6
4
4
Some college or associate degree
2
2
Bachelor's degree and higher
0
1970
1973
1976
1979
1982
1985
1988
1991
1994
1997
2000
2003
0
2006
NOTE: Data are from the March 1970-2006 Current Population Survey and are for persons 25 to 64 years old. Beginning in 1992,
data are based on highest diploma or degree received; prior to this time, data were based on years of school completed.
SOURCE: Bureau of Labor Statistics
Chart 2-2. The higher the education level, the lower the
unemployment rate
•
In March 2006, the unemployment rate for persons 25 to 64 years old without
a high school diploma was 8.3 percent, while the jobless rate for college
graduates was 2.3 percent. This compares with unemployment rates of 4.6 and
1.3 percent, respectively, in March 1970.
•
The unemployment rate for high school dropouts trended upward until the
early 1980s. Although the rate has generally trended lower since then, it
remains considerably higher than in 1970.
•
In contrast, the jobless rate for college graduates has held fairly steady over the
long term.
Chart 2-3. Regardless of race or Hispanic ethnicity,
unemployment rates generally decline with higher levels of
education
Less than a high school
diploma
High school graduates,
no college
White
Black or African American
Some college or
associate degree
Asian
Hispanic or Latino
Bachelor's degree and
higher
0
2
NOTE: Data are for persons 25 years and older.
4
6
8
Unemployment rate
2006
10
12
SOURCE: Bureau of Labor Statistics
Chart 2-3. Regardless of race or Hispanic ethnicity,
unemployment rates generally decline with higher levels of
education
•
In 2006, among persons 25 years and older, the unemployment rate of blacks
with a college degree (2.8 percent) was 10 percentage points lower than the
rate for blacks with less than a high school diploma (12.8 percent).
•
The unemployment rate for white college graduates (2.0 percent) was about 4
points below that of whites with less than a high school diploma (5.9 percent).
•
The unemployment rate for Hispanic college graduates (2.2 percent) was about
3 points below that of Hispanics with less than a high school diploma (5.5
percent).
14
Chart 2-4. Education pays
Median weekly earnings of full-time wage and salary workers 25 years and older
$1,200
$1,039
$1,000
$800
$692
$595
$600
$419
$400
$200
$0
Less than a high
school diploma
High school
graduates, no
college
Some college or
associate degree
Bachelor's degree
and higher
2006
SOURCE: Bureau of Labor Statistics
Chart 2-4. Education pays
•
Earnings increase with higher levels of education.
•
In 2006, for example, among workers 25 years and older, median weekly
earnings of wage and salary workers who usually worked full time were
almost two and a half times more for persons with at least a college degree
than for those who had not completed high school.
Chart 2-5. Education pays for everyone, regardless of race or
Hispanic ethnicity
Less than a high school
diploma
White
Black or African American
Asian
High school graduates,
no college
Hispanic or Latino
Some college or
associate degree
Bachelor's degree and
higher
$0
$200
$400
$600
$800
$1,000
$1,200
Median weekly earnings of full-time wage and salary workers 25 years and older
2006
SOURCE: Bureau of Labor Statistics
Chart 2-5. Education pays for everyone, regardless of race or
Hispanic ethnicity
•
Regardless of race or Hispanic ethnicity, college graduates earn substantially
more than do high school graduates and more than twice as much as high
school dropouts.
•
In 2006, for example, median weekly earnings for black high school dropouts
were $393, while earnings for black college graduates were $886.
•
Among Hispanics, median weekly earnings for high school dropouts were
$396, while earnings for Hispanic college graduates were $860.
Chart 2-6. Real median weekly earnings for college
graduates have trended up over time
Median weekly earnings of full-time workers (In constant 2006 dollars)
$1,200
$1,200
Bachelor's degree and higher
$1,000
$1,000
$800
$800
Some college or associate degree
$600
$600
High school graduates, no college
Less than a high school diploma
$400
$200
1979
1982
1985
1988
1991
$400
1994
1997
2000
2003
$200
2006
NOTE: Median weekly earnings of full-time wage and salary workers 25 years and older. Earnings data have been adjusted using
the CPI-U-RS research series as of April 2007. Beginning in 1992, data are based on highest diploma or degree received; prior to
1992, data were based on years of school completed.
SOURCE: Bureau of Labor Statistics
Chart 2-6. Real median weekly earnings for college
graduates have trended up over time
•
Only college graduates have experienced growth in real median weekly
earnings since 1979. In contrast, high school dropouts have seen their real
median weekly earnings decline by about 22 percent.
•
Real earnings for high school graduates and for persons with some college or
an associate degree were little changed over the 1979-2006 period.
•
For most workers, real earnings have been relatively flat since 1998.
Section 3
Employment Relationships
Chart 3-1. Fewer than 2 in 10 employed persons work part
time; fewer than 1 in 10 workers is self-employed
Percent of total employment
25
25
Part-time workers
20
20
15
15
Self-employed
workers
10
10
5
5
0
0
1970
1973
1976
1979
1982
1985
1988
1991
1994
1997
2000
2003
2006
NOTE: Shaded areas represent recessions. Data are seasonally adjusted. Beginning in 1994, data reflect the introduction of a major
redesign of the Current Population Survey that included changes affecting the measurement of part-time workers and selfemployment.
SOURCE: Bureau of Labor Statistics
Chart 3-1. Fewer than 2 in 10 employed persons work part
time; fewer than 1 in 10 workers is self-employed
•
In 2006, about 17 percent of all employed persons usually worked part time
(less than 35 hours per week). For the vast majority of these workers, a parttime schedule was preferred.
•
The pronounced upward shift in part-time employment in January 1994 was
due to definitional and measurement changes associated with the redesign of
the Current Population Survey.
•
In 2006, about 7 percent of all workers were self-employed.
Chart 3-2. About 1 in 20 workers has more than one job
Percent
8
8
7
7
Men
6
6
Women
Total
5
5
Men
4
4
Women
3
3
2
2
1970
1973
1976
1979
1982
1985
1988
1991
1994
1997
2000
2003
2006
NOTE: Data are for May of each year. Beginning in 1994, data reflect the introduction of a major redesign of the Current
Population Survey. Comprehensive surveys of multiple jobholders were not conducted in 1981-84, 1986-88, 1990, and 1992-93.
SOURCE: Bureau of Labor Statistics
Chart 3-2. About 1 in 20 workers has more than one job
•
In May 2006, about 7.6 million workers held more than one job, representing
5.3 percent of all employed persons.
•
For women, the multiple jobholding rate rose markedly from 1970 through the
end of the 1980s, while the rate for men changed little over this period. For
the last several years, women have been somewhat more likely than men to
work more than one job.
Chart 3-3. About 2 percent of nonfarm jobs are in temporary
help services
Thousands
Percent of total nonfarm payroll employment
2.5
3,000
2,500
2.0
2,000
1.5
1,500
1.0
1,000
0.5
500
0
1990
1994
1998
2002
2006
0.0
1990
1994
1998
2002
2006
NOTE: Shaded areas represent recessions. Data are seasonally adjusted.
SOURCE: Bureau of Labor Statistics
Chart 3-3. About 2 percent of nonfarm jobs are in
temporary help services
•
Employment in temporary help services—an industry that provides workers to
many other industries—grew rapidly during the 1990s and into 2000.
•
After falling sharply during the 2001 recession, employment in the industry
began trending back up in 2003. By the end of 2005, the industry accounted
for nearly 2 percent of total nonfarm payroll employment, about the same
share as at its previous peak in 2000.
•
In 2006, temporary help services employment was little changed on net.
Chart 3-4. In 2005, about 1 in 25 workers could be described
as "contingent,” believing that they could not work at their
job indefinitely
Noncontingent workers
(95.9 percent)
Contingent workers
(4.1 percent)
February 2005
SOURCE: Bureau of Labor Statistics
Chart 3-4. In 2005, about 1 in 25 workers could be described
as "contingent,” believing that they could not work at their
job indefinitely
•
Conceptually, contingent workers can be thought of as those workers who
have no explicit or implicit contract for ongoing employment. Under the
broadest definition, which includes workers who do not expect their jobs to
last, they made up approximately 4 percent of workers in February 2005. The
percentage of workers classified as “contingent” has edged down from about 5
percent in February 1995 (when the data on contingent work were first
collected).
•
In 2005, slightly more than one-half of contingent workers would have
preferred a permanent job; about one-third of contingent workers preferred the
contingent arrangement (the remainder were either undecided or did not
respond).
Chart 3-5. In 2005, about 10 percent of employed persons
worked in alternative employment arrangements, mostly as
independent contractors
Traditional employment
arrangements
(89.1) percent
On-call workers
(1.8 percent)
Temporary help
agency workers
(0.9 percent)
Independent contractors
(7.4 percent)
Workers provided
by contract firms
(0.6 percent)
February 2005
SOURCE: Bureau of Labor Statistics
Chart 3-5. In 2005, about 10 percent of employed persons
worked in alternative employment arrangements, mostly as
independent contractors
•
About 1 in every 10 workers in February 2005 was employed in an
"alternative" employment arrangement. This category includes independent
contractors, on-call workers, temporary help agency workers, and workers
provided by contract firms.
•
Independent contractors accounted for just over two-thirds of those in
alternative employment arrangements.
•
The vast majority of independent contractors were satisfied with their
arrangement. Just over half of temporary help workers would have preferred a
traditional employment arrangement.
Chart 3-6. Displacement rates rise during recessions
Displacement rate
5.0
4.0
3.9
3.9
3.1
3.1
3.1
3.0
3.8
3.3
2.9
2.8
2.5
2.4
2.5
2.0
1.0
0.0
1981-82 1983-84 1985-86 1987-88 1989-90 1991-92 1993-94 1995-96 1997-98
19992000
20012002
20032004
Survey reference period
NOTE: Displaced workers are persons 20 years and older who lost or left jobs they had held for at least 3 years because their plant
or company closed or moved, there was insufficient work for them to do, or their positions or shifts were abolished. The 2-year
displacement rates shown here are the most recent data available.
SOURCE: Bureau of Labor Statistics
Chart 3-6. Displacement rates rise during recessions
•
The displacement rate—which reflects the likelihood of job loss due to plant
or company closings, reduced work loads, or the abolishment of positions or
shifts—increases during recessions and falls during recoveries.
•
The risk of job loss was higher during 1981-82, 1991-92, and 2001-02, the
survey reference periods that included recessions. As labor market conditions
improved following the downturns, the risk of job loss due to displacement
declined.
Chart 3-7. Production, transportation, and material moving
workers were most likely to be displaced in 2003-2004
Displacement rate
5.0
3.8
4.0
3.0
4.6
2003-2004
3.2
2.9
2.0
1.6
1.0
0.0
Management,
professional, and
related occupations
Service
occupations
Sales and office
occupations
Natural resources,
Production,
construction, and transportation, and
maintenance
material moving
occupations
occupations
NOTE: Displaced workers are persons 20 years and older who lost or left jobs they had held for at least 3 years because their plant
or company closed or moved, there was insufficient work for them to do, or their positions or shifts were abolished. The 2-year
displacement rates shown here are the most recent data available.
SOURCE: Bureau of Labor Statistics
Chart 3-7. Production, transportation, and material moving
workers were most likely to be displaced in 2003-2004
•
The displacement rate reflects the likelihood of job loss due to plant or
company closings, reduced work loads, or the abolishment of positions or
shifts.
•
Workers in production, transportation, and material moving occupations were
the most likely to be displaced in 2003-2004. In contrast, workers in service
occupations were least likely to be displaced during the period.
Chart 3-8. About one-third of workers displaced from fulltime jobs in 2003-2004 found full-time jobs that paid at least
what they made on their old jobs
Unemployed
8.5 percent
Not in labor force
14.4 percent
Employed in full-time
wage and salary jobs with
earnings the same as or
higher than on lost jobs
31.7 percent
Self-employed or
unpaid family worker
6.2 percent
Employed in part-time
wage and salary jobs
7.5 percent
Employed in full-time
wage and salary jobs with
earnings less than
on lost jobs
31.8 percent
Employment status
in January 2006
NOTE: Displaced workers are persons 20 years and older who lost or left jobs they had held for at least 3 years because their plant or
company closed or moved, there was insufficient work for them to do, or their positions or shifts were abolished.
SOURCE: Bureau of Labor Statistics
Chart 3-8. About one-third of workers displaced from fulltime jobs in 2003-2004 found full-time jobs that paid at least
what they made on their old jobs
•
Some displaced workers drop out of the labor force after losing their jobs;
others look for work. Most find work again.
•
About one-third of those displaced from full-time jobs during the 2003-2004
period had found new full-time wage and salary jobs that paid at least as much
as their old job and about one-third found full-time jobs that paid less. The
remainder were not in the labor force, looking for work, or working part time
or for themselves.
Chart 3-9. Declining proportions of men have worked for
their current employer for 10 years or longer
Percent with 10 or more
years of tenure
1983
2006
80
60
66
62
58
51
66
50
51
50 to 54
55 to 59
48
48 47
60 to 64
65 years
and over
43
37
40
35
25
20
19
12
0
30 to 34
years
35 to 39
40 to 44
45 to 49
Age
SOURCE: Bureau of Labor Statistics
Chart 3-9. Declining proportions of men have worked for
their current employer for 10 years or longer
•
In nearly every age group, the proportion of men who worked for their current
employer for 10 years or longer declined between 1983 and 2006.
•
Many perceive longevity with an employer as a measure of employment
stability. Hence, long tenure and rising tenure are viewed as “good” and short
tenure and falling tenure as “bad.” Tenure can be an ambiguous indicator,
however. For example, many people change employers voluntarily to take
better jobs. If the economy is performing well, more workers have
opportunities to change jobs voluntarily, possibly resulting in a decline in
tenure.
Chart 3-10. Rising proportions of women ages 40 to 54 have
worked for their current employer for 10 years or longer
Percent with 10 or more
years of tenure
1983
2006
80
60
51 49
53
55
49
50
60 to 64
65 years
and over
43 44
40
33
37
28
22 21
20
23
15
9
0
30 to 34 35 to 39
years
40 to 44 45 to 49
50 to 54 55 to 59
Age
SOURCE: Bureau of Labor Statistics
Chart 3-10. Rising proportions of women ages 40 to 54 have
worked for their current employer for 10 years or longer
•
Between 1983 and 2006, the proportion of women who have worked for their
current employer for 10 years or longer increased among those 40 to 54 years
old.
•
Some of this increase reflects differences in the labor market experiences of
women in different generations.
Chart 3-11. Union membership has declined over time
Percent of employed wage and salary workers
30
30
25
25
Men
20
20
Total
15
15
Women
10
10
5
5
0
1983
0
1985
1987
1989
1991
1993
1995
1997
1999
2001
2003
2005
SOURCE: Bureau of Labor Statistics
Chart 3-11. Union membership has declined over time
•
In 2006, 12 percent of wage and salary workers were union members, down
from 20.1 percent in 1983 (the first year for which comparable data are
available).
•
Nearly 4 in 10 government workers were union members in 2006, compared
with fewer than 1 in 10 private-sector employees.
•
Men are more likely than women to be union members; however, the disparity
has narrowed over time. The difference in union membership among men and
women reflects, in part, differences in occupation and industry.
Section 4
Race and Hispanic Ethnicity
Chart 4-1. Selected labor force characteristics of blacks or
African Americans
In 2006, blacks or African Americans comprised:
11 percent of the
labor force
15 percent of those
working part time for
economic reasons
22 percent of the
unemployed
28 percent of the
long-term unemployed
25 percent of
marginally attached
workers
0
20
40
60
80
100
Percent
SOURCE: Bureau of Labor Statistics
Chart 4-1. Selected labor force characteristics of blacks or
African Americans
•
Blacks are more likely than other groups to experience labor market problems.
For instance, while blacks made up 11 percent of the U.S. labor force in 2006,
they accounted for 22 percent of the unemployed and 28 percent of the longterm unemployed (persons unemployed for 27 weeks or longer).
•
Also, blacks comprised a disproportionately large share of the marginally
attached—persons who were available for work and had searched for work
during the prior 12 months but who were not currently looking for work.
Chart 4-2. Selected labor force characteristics of Hispanics
or Latinos
In 2006, Hispanics or Latinos comprised:
14 percent of the
labor force
22 percent of those
working part time for
economic reasons
15 percent of the
unemployed
12 percent of the
long-term unemployed
13 percent of
marginally attached
workers
0
20
40
60
80
100
Percent
SOURCE: Bureau of Labor Statistics
Chart 4-2. Selected labor force characteristics of Hispanics
or Latinos
•
Hispanics made up 14 percent of the labor force in 2006.
•
However, they accounted for 22 percent of persons employed part time for
economic reasons and 15 percent of the unemployed.
•
Persons whose ethnicity is identified as Hispanic or Latino may be of any race.
Chart 4-3. Selected labor force characteristics of Asians
In 2006, Asians comprised:
4 percent of the
labor force
3 percent of those
working part time for
economic reasons
3 percent of the
unemployed
4 percent of the
long-term unemployed
5 percent of
marginally attached
workers
0
20
40
60
80
Percent
SOURCE: Bureau of Labor Statistics
Chart 4-3. Selected labor force characteristics of Asians
•
Asians made up about 4 percent of the labor force in 2006.
•
They accounted for similar proportions of the unemployed and other
categories of persons experiencing certain types of labor market difficulties.
100
Chart 4-4. Blacks are less likely to participate in the labor
force than whites, Asians, or Hispanics
Percent
70
Hispanic or Latino
70
68
68
66
66
Asian
64
64
White
Black or African American
62
62
60
60
58
58
1970 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003 2006
NOTE: Persons whose ethnicity is identified as Hispanic or Latino may be of any race. Data for Asians only available since 2000.
SOURCE: Bureau of Labor Statistics
Chart 4-4. Blacks are less likely to participate in the labor
force than whites, Asians, or Hispanics
•
In 2006, the labor force participation rate—the percent of persons 16 years and
over who are working or looking for work—was 64.1 percent for blacks; this
compared with 68.7 percent for Hispanics.
•
The rates for whites and Asians were about equal—66.5 percent and 66.2
percent, respectively.
Chart 4-5. Unemployment rates for blacks and Hispanics
have remained consistently higher than the rate for whites
Percent
20
20
18
18
Black or African American
16
16
14
14
12
12
10
10
8
8
Hispanic or Latino
6
6
White
4
Asian
4
2
2
1970 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003 2006
NOTE: Persons whose ethnicity is identified as Hispanic or Latino may be of any race. Data for Asians only available since 2000.
SOURCE: Bureau of Labor Statistics
Chart 4-5. Unemployment rates for blacks and Hispanics
have remained consistently higher than the rate for whites
•
The unemployment rate for blacks 16 years and over generally has been at
least twice that of whites.
•
The jobless rate for Hispanics, while higher than that for whites, is lower than
that for blacks.
•
The rate for Asians is similar to that of whites.
Chart 4-6. Blacks and Hispanics are less likely than are
whites and Asians to be employed in management and
professional occupations
Percent of employed
100
36
80
17
Management,
professional, and related
occupations
24
Service occupations
21
Sales and office
occupations
20
Natural resources,
construction, and
maintenance occupations
18
Production, transportation,
and material moving
occupations
27
47
60
15
24
16
40
25
26
22
20
12
7
12
16
4
10
0
White
Black or African
American
2006
NOTE: Data may not sum to 100 percent due to rounding.
Asian
Hispanic or
Latino
SOURCE: Bureau of Labor Statistics
Chart 4-6. Blacks and Hispanics are less likely than are
whites and Asians to be employed in management and
professional occupations
•
In 2006, blacks and Hispanics were less likely to be employed in management,
professional, and related occupations than their white or Asian counterparts.
•
Blacks and Hispanics were more likely than whites or Asians to work in
service occupations.
•
Hispanics were more likely than whites, blacks, or Asians to work in natural
resources, construction, and maintenance occupations.
Chart 4-7. Earnings of blacks and Hispanics are lower than
those of Asians and whites
Median weekly earnings of full-time workers (In constant 2006 dollars)
$850
$850
Asian
$800
$750
$800
$750
$700
$700
White
$650
$650
$600
$600
Black or African American
$550
$550
$500
$500
Hispanic or Latino
$450
$400
1979
1982
1985
1988
$450
1991
1994
1997
2000
2003
$400
2006
NOTE: Earnings are median weekly earnings of full-time wage and salary workers. Earnings data have been adjusted using the
CPI-U-RS research series. Persons whose ethnicity is identified as Hispanic or Latino may be of any race. Data for Asians only
available since 2000.
SOURCE: Bureau of Labor Statistics
Chart 4-7. Earnings of blacks and Hispanics are lower than
those of Asians and whites
•
The median usual weekly earnings for full-time wage and salary workers are
higher for Asians and whites than for blacks and Hispanics.
•
In 2006, median weekly earnings of white workers were $690, compared with
$554 for blacks and $486 for Hispanic workers. Asians earned $784 per week.
Section 5
Women
Chart 5-1. After rising for several decades, the labor force
participation rate for women has shown no growth in recent
years
Percent
90
90
85
85
Adult men
80
80
75
75
70
70
65
65
Adult women
60
60
55
55
50
50
Teenagers
45
45
40
1970
40
1973
1976
1979
1982
1985
1988
1991
1994
1997
2000
2003
2006
NOTE: Shaded areas represent recessions. Data are seasonally adjusted.
SOURCE: Bureau of Labor Statistics
Chart 5-1. After rising for several decades, the labor force
participation rate for women has shown no growth in recent
years
• The labor force participation rate for adult women rose dramatically during the
1970s and 1980s. In the 1990s, growth in participation slowed substantially.
The participation rate has shown no growth in recent years.
• The participation rate for adult men has drifted down over time.
• The participation rate for teenagers (both sexes, 16 to 19 years old) has trended
downward since the late 1970s. From 2000 to 2003, the rate declined sharply.
Since 2003, the rate has held fairly steady. The teen rate is more cyclically
sensitive than that for adults.
Chart 5-2. Women's labor force participation patterns are
now more like those of men
Percent
1970
100
Men
100
2006
80
80
2006
Women
60
60
1970
40
40
20
20
0
16 to 19
years
20 to 24
25 to 34
35 to 44
45 to 54
55 to 64
0
65 years
and over
Age
SOURCE: Bureau of Labor Statistics
Chart 5-2. Women’s labor force participation patterns are
now more like those of men
• In 1970, the impact of marriage and motherhood on women's labor force
participation rates was strikingly evident. At that time, their participation
reached its initial peak at ages 20-24, dropped at ages 25-34, and then gradually
rose to a second peak at ages 45-54 before tapering off.
• In 2006, this pattern of peaks and valleys was no longer evident, as women had
increasingly added the role of worker to their lives. Indeed, women's labor
force participation pattern by age now resembles that of men, although at a
lower overall participation rate.
Chart 5-3. Unemployment rates for adult men and women
have stayed quite close since the early 1980s
Percent
25
25
Teenagers
20
20
15
15
Adult women
10
10
5
5
Adult men
0
0
1970
1973
1976
1979
1982
1985
1988
1991
1994
1997
2000
2003
2006
NOTE: Shaded areas represent recessions. Data are seasonally adjusted.
SOURCE: Bureau of Labor Statistics
Chart 5-3. Unemployment rates for adult men and women
have stayed quite close since the early 1980s
• The unemployment rates for adult men and adult women have tracked quite
closely since the early 1980s. Prior to that time, the jobless rate for adult
women tended to be higher than that for men.
• The jobless rate for teenagers is much higher than that for adults, largely
because teens have less education and training, less experience, and tend to
move in and out of the job market more frequently.
Chart 5-4. The employment-population ratios for adult men
and women have edged up since mid-2003
Percent
80
80
Adult men
70
70
60
60
Adult women
50
50
40
40
Teenagers
30
30
1970
1973
1976
1979
1982
1985
1988
1991
1994
1997
2000
2003
2006
NOTE: Shaded areas represent recessions. Data are seasonally adjusted.
SOURCE: Bureau of Labor Statistics
Chart 5-4. The employment-population ratios for adult men
and women have edged up since mid-2003
• The employment-population ratio (the proportion of the population that is
employed) for adult men has hovered around 72 percent since the early 1980s,
with the exception of cyclical declines during recessions. The ratio for adult
women—58.0 percent in 2006—rose markedly over the past several decades
(although there were also cyclical swings), reflecting the dramatic influx of
women into the job market.
• The employment-population ratios for adult men and women declined during
the 2001 recession, but have edged up since mid-2003.
• The employment-population ratio for teenagers fell steeply from 2000 to 2003,
and has leveled off since. The teen ratio is more cyclically sensitive than the
ratio for adults.
Chart 5-5. Women continue to be more likely than men to
work part time
Percent
35
35
Women
30
30
25
25
20
20
15
15
Men
10
10
5
5
0
0
1970
1973
1976
1979
1982
1985
1988
1991
1994
1997
2000
2003
2006
NOTE: Shaded areas represent recessions. Data are seasonally adjusted. Beginning in 1994, data reflect the introduction of a major
redesign of the Current Population Survey that included changes affecting the measurement of part-time workers.
SOURCE: Bureau of Labor Statistics
Chart 5-5. Women continue to be more likely than men to
work part time
• Women are more than twice as likely as men to work part time—that is, fewer
than 35 hours per week. In 2006, about 25 percent of employed women were
part-time workers, compared with 11 percent of employed men.
• The upward shift in part-time employment in January 1994 was due to
definitional and measurement changes associated with the redesign of the
Current Population Survey. These changes in definitions and measurement had
a greater impact on the data for women than for men.
Chart 5-6. Year-round, full-time work has trended up
Percent working year round, full time
80
80
Men
70
70
60
60
50
50
Women
40
40
30
1960
1965
1970
1975
1980
1985
1990
1995
2000
30
2005
NOTE: Data are collected in March and refer to the preceding calendar year.
SOURCE: Bureau of Labor Statistics
Chart 5-6. Year-round, full-time work has trended up
• Among women who work at some time during the year, the proportion working
year round (50-52 weeks) and full time (35 hours or more per week) has grown
over the past several decades. In part, this trend reflects women’s movement
into occupations that are typified by year-round, full-time work.
• The proportion of men working year round and full time—which is
considerably higher than that for women—showed little definite movement
until the early 1980s. Since then, it has trended upward.
Chart 5-7. Women are concentrated in management,
professional, sales, and office occupations
Percent distribution of employed women and men by occupation
50
Women
40
Men
38
34
32
30
20
20
17
20
18
13
10
6
1
0
Management,
Service occupations
professional, and
related occupations
Sales and office
occupations
2006
Natural resources,
construction, and
maintenance
occupations
Production,
transportation, and
material moving
occupations
SOURCE: Bureau of Labor Statistics
Chart 5-7. Women are concentrated in management,
professional, sales, and office occupations
• Almost three-quarters of women were employed in management, professional,
sales, and office occupations in 2006, compared with about half of men.
• Fewer than 1 in 10 women were employed in natural resources, construction,
and maintenance occupations or production, transportation, and material
moving occupations.
Chart 5-8. Women's earnings have increased substantially as
a percent of men's
Women's earnings as a percent of men's
85
85
80
80
75
75
70
70
65
65
60
1979
1982
1985
1988
1991
1994
1997
2000
2003
60
2006
NOTE: Earnings are median usual weekly earnings of full-time wage and salary workers.
SOURCE: Bureau of Labor Statistics
Chart 5-8. Women's earnings have increased substantially as
a percent of men's
• The ratio of women's to men's earnings, at about 81 percent in 2006, has risen
sharply since 1979, when it stood at about 63 percent.
• In 2006, black women earned 88 percent of what black men did; among
Hispanics, the earnings ratio was 87 percent. In contrast, white women’s
earnings were 80 percent of white men’s and Asian women’s earnings were 79
percent of Asian men’s.
• This simple comparison of earnings for men and women who usually work full
time does not control for many factors that can be significant in explaining
earnings differences, such as educational attainment, occupation, hours of
work, job tenure, and other factors.
Chart 5-9. The change in real earnings since 1979 has been
more favorable for women than for men at all levels of
education
24
Women
Total, 25 years and over
-2
Men
32
Bachelor's degree and higher
17
10
Some college or associate degree
-7
4
High school graduates, no college
-15
-9
Less than a high school diploma
-28
-40
-20
0
20
40
Percent change in real earnings, 1979-2006
NOTE: Change in median usual weekly earnings of full-time wage and salary workers 25 years and older, adjusted using the CPI-URS research series as of April 2007. In 2006, data were based on highest diploma or degree received; in 1979, data were based on
years of school completed.
SOURCE: Bureau of Labor Statistics
Chart 5-9. The change in real earnings since 1979 has been
more favorable for women than for men at all levels of
education
• Overall, real earnings for women 25 years and over increased by nearly 25
percent from 1979 to 2006, while men’s real earnings were little changed.
• Women with at least a high school diploma experienced increases in real
earnings. For men, only college graduates saw an increase; all other education
groups experienced a decline in real earnings.
• While women fared better overall than men during this time period, in a sense
they were playing “catch up” to men. The growth in women’s earnings reflects
the impacts of a rise in the proportion of working women with a college
education, an increase in women in higher-paying managerial and professional
jobs, and a shift toward more year-round, full-time work among women.
Chart 5-10. The women’s-to-men’s earnings ratio has
increased for most major age groups
Women's earnings as a percent of men's
100
1979
95
81
80
79
77
74
60
58
57
35 to 44
45 to 54
78
73
68
63
2006
88
78
60
40
20
0
16 years and
over
16 to 24
25 to 34
55 to 64
Age
65 years and
over
NOTE: Earnings are median usual weekly earnings of full-time wage and salary workers.
SOURCE: Bureau of Labor Statistics
Chart 5-10. The women’s-to-men’s earnings ratio has
increased for most major age groups
• The women's-to-men's earnings ratios have increased for workers under 65
years old over the 1979-2006 period. The ratio for those 65 years and over was
unchanged.
• In 2006, the ratios were highest for women 16 to 34 years old.
• Care should be taken in interpreting these data, however, as they provide only a
snapshot of earnings patterns in 2006. Older women faced a different social
and economic climate at the start of their work lives than that which exists for
young women today. Consequently, the lifetime earnings pattern of today’s
older women is not a reliable guide to the lifetime earnings pattern of today’s
younger women.
Section 6
Families
Chart 6-1. The proportion of all families maintained by men
or by women with no spouse present has grown substantially
Married-couple
families
87%
Families
maintained
by men
2%
Married-couple
families
75%
Families
maintained
by men
7%
Families
maintained
by women
11%
March 1970
Families
maintained
by women
19%
March 2006
SOURCE: Bureau of Labor Statistics
Chart 6-1. The proportion of all families maintained by men
or by women with no spouse present has grown substantially
•
Families are defined as a group of two or more persons residing together who
are related by birth, marriage, or adoption. Families are classified either as
married-couple families or as families maintained by women or men without
spouses.
•
Families maintained by women with no spouse present have grown markedly
as a proportion of all families over time. In March 2006, almost 2 in 10
families were maintained by a woman; 36 years earlier, they comprised about
1 in 10. The percentage of families maintained by men grew from 2 to 7
percent over the period.
•
Not only has the proportion of families maintained by men or women grown
dramatically over time, but there also have been remarkable changes in the
work patterns among married-couple families. The share of married-couple
families in which both the husband and wife had earnings increased from 46
percent in 1970 to 57 percent in 2005, while the proportion comprised of
families with just the husband as an earner fell from 33 percent to 18 percent.
The proportion of married-couple families with no earners was 14 percent in
2005.
Chart 6-2. Most families have an employed member
Total families
82
Married-couple families
84
Families maintained by
women
76
Families maintained by
men
85
0
20
40
60
80
Percent of families with an employed member
2006
SOURCE: Bureau of Labor Statistics
Chart 6-2. Most families have an employed member
•
Overall, about 4 in 5 families had an employed member in 2006. Those
maintained by women with no spouse present were somewhat less likely than
other families to have an employed member.
•
Families with children are more likely to have an employed member (92
percent) than families with no children (75 percent). Many families without
children are made up of older persons, who are less likely to be in the labor
force.
•
Of the 4.9 million families with an unemployed member in 2006, 70 percent
had at least one worker.
100
Chart 6-3. Labor force participation rates have increased
dramatically among mothers over the past 31 years
Percent
100
March 1975
March 2006
77
80
71
68
60
55
60
47
45
40
34
20
0
Under 18 years
6 to 17
3 to 5
Under 3 years
Age of youngest child
SOURCE: Bureau of Labor Statistics
Chart 6-3. Labor force participation rates have increased
dramatically among mothers over the past 31 years
•
In 2006, about 7 out of 10 mothers were labor force participants. In 1975,
about 5 out of 10 were working or looking for work.
•
In 2006, participation rates ranged from 60 percent for mothers whose
youngest child was under 3 years old to 77 percent for those whose youngest
child was 6 to 17.
Chart 6-4. Black mothers have the highest labor force
participation rates
Percent
100
80
White
Black or African American
77
76
70
Asian
80
72
67
Hispanic or Latino
77
69
66
66
65
61
58
60
59
57
48
40
20
0
Under 18 years
6 to 17
3 to 5
Under 3 years
Age of youngest child
March 2006
SOURCE: Bureau of Labor Statistics
Chart 6-4. Black mothers have the highest labor force
participation rates
•
In 2006, as in the past, black mothers with children under 18 were more likely
than white mothers to be in the labor force—76 percent compared with 70
percent.
•
Asian and Hispanic mothers were less likely than either black or white
mothers to be labor force participants.
Chart 6-5. In 2005, working wives contributed a little more
than a third of their families’ income
Percent
37
37
35
35
33
33
31
31
29
29
27
27
25
25
23
1970 1973 1976 1979 1982 1985 1988 1991 1994 1997 2000 2003
23
SOURCE: Bureau of Labor Statistics
Chart 6-5. In 2005, working wives contributed a little more
than a third of their families’ income
•
As more wives have entered higher-paying occupations and more wives work
full time all year, their contribution to family income has increased. By 2005,
35 cents of every dollar of married-couple family income were earned by the
wife.
•
Among married-couple families where both the wife and husband have
earnings, 26 percent of wives earned more than their husbands in 2005. This
was up from 18 percent in 1987.
Chart 6-6. Nine out of 10 children live with an employed
parent
Percent of children
100
97
90
84
80
69
60
40
20
0
All children
SOURCE: Bureau of Labor Statistics
In married-couple
families
In families
maintained by
women
In families
maintained by men
2006
Chart 6-6. Nine out of 10 children live with an employed
parent
•
Children in married-couple families are more likely to live with an employed
parent (97 percent) than are children in families maintained by women (69
percent) or men (84 percent) with no spouse present.
•
About 62 percent of all children live with mothers who work. Children are
more likely to have a working mother in families maintained by women (69
percent) than are children in married-couple families (64 percent).
Chart 6-7. Families allocated about one-third of their total
spending to housing and about one-fifth to transportation in
2005
Expenditure category
Food
13.0
Housing
31.9
Apparel and services
4.1
Transportation
18.6
Health care
5.6
Entertainment
5.2
Personal insurance and pensions
11.7
Other expenditures
10.0
0
5
10
15
20
25
Percent of total expenditures
30
35
SOURCE: Bureau of Labor Statistics
Chart 6-7. Families allocated about one-third of their total
spending to housing and about one-fifth to transportation in
2005
•
Families are defined here as consumer units of two or more persons. These
consumer units are traditionally-defined families or unrelated individuals who
make joint expenditure decisions.
•
Food was the third largest component in total spending. About 13 cents of
every expenditure dollar was allocated to food.
•
From 2004 to 2005, the largest increase among the major components of
spending occurred in housing.
Chart 6-8. Single-parent families allocated more of their
expenditure dollar to basic items—food and housing—than
did married-couple families in 2005
Expenditure category
Food
Housing
Apparel and services
Transportation
Health care
Married couple with children
Married couple only
Single parent
Entertainment
Personal insurance and pensions
Other expenditures
0
SOURCE: Bureau of Labor Statistics
5
10
15
20
25
30
35
Percent of total expenditures
Chart 6-8. Single-parent families allocated more of their
expenditure dollar to basic items—food and housing—than
did married-couple families in 2005
•
In addition to food and housing, single-parent families allocated a larger share
of their expenditure dollar to apparel and services (about 6 percent) than did
other family groups.
•
Married couples spent more as a share of total spending on transportation
(about 19 percent) than did single-parent families.
•
Each family group allocated roughly 5 cents of every expenditure dollar to
entertainment.
40
Chart 6-9. On weekdays that they worked, employed persons
with children spent two-thirds of an average day working and
sleeping
Caring for others
1.1 hours
Other
2.4 hours
Working
8.2 hours
Eating and drinking
1.1 hours
Household
activities
1.0 hours
Leisure
and sports
2.6 hours
Sleeping
7.6 hours
Total = 24 hours
2006
NOTE: Data are for weekdays (Monday-Friday) only and refer to employed persons ages 25 to 54 who worked on the diary day and
lived in households with children under 18. All categories, except sleeping and working, include related travel time. Data are 2006
annual averages.
SOURCE: Bureau of Labor Statistics
Chart 6-9. On weekdays that they worked, employed persons
with children spent two-thirds of an average day working and
sleeping
•
On an average work day (Monday-Friday) in 2006, employed persons ages 25
to 54 with children in the household worked about one-third (8.2 hours) of the
day. No other single activity was allocated as much time.
•
This same group slept 7.6 hours on weekdays that they worked—0.7 hour less
than the average for workers 15 years and older. The remainder of the day
was spent doing a variety of activities, including leisure and sports (2.6 hours);
caring for others (1.1 hours); eating and drinking (1.1 hours); household
activities such as housework, food preparation, and household management
(1.0 hours); and other miscellaneous activities.
•
Of the 1.1 hours spent per day caring for others, about an hour was spent
providing care to children (household and non-household) under the age of 18
as a primary activity. Primary childcare activities include bathing, dressing,
reading to, and playing with children.