Workers install solar panels during the completion phase of a 4-acre solar roof atop AltaC’s research and development facility at the Port of Los Angeles in the San Pedro neighborhood on April 21, 2023 in Los Angeles, California.

Mario Tama | Getty Images

The unemployment rate for black workers fell slightly in July as the broader labor market remains tight.

On Friday, the unemployment rate for black workers fell to 5.8%, according to the Labor Department. This is lower than June’s 6.0%. This is also lower than the 6.0% rate in the year-ago period. Broken down by gender, the unemployment rate for black men fell from 5.9% in June to 5.3% in July. Meanwhile, the unemployment rate for black women dropped to 5.2% from 5.4% the previous month.

These figures reflect ongoing tightness in the broader labor market. In July, US unemployment rate little changed, 3.5%Which is slightly above the lowest level since late 1969.

“It shows that the labor market is strong and in a good place,” said Valerie Wilson of the Economic Policy Institute. “Even with the increases, the interest rate hikes that the Federal Reserve is implementing, we see unemployment remain low.”

For black workers, the labor force participation rate, which measures the number of people employed or looking for work, also rose slightly higher to 62.7%.

The unemployment rate for Hispanic workers also rose slightly to 4.4% in July from 4.3% in June. The rate increased from 3.8% to 4.0% for Hispanic males. The rate for Hispanic women decreased slightly from 4.1% to 4.0%.

Wilson, director of EPI’s program on race, ethnicity and the economy, said the modest increase may be partly due to higher unemployment rates in the leisure and hospitality industries, transportation and utilities, as well as construction.

“It seems to me that some of these patterns are related to what’s happening in industries where different groups of workers make up a large portion of the people employed in those industries,” Wilson said.

Meanwhile, the unemployment rate for Asian workers fell to 2.3% in July, down 0.9 percentage points from June’s 3.2%.

Overall, though, Wilson said, the report showed a positive trend for the labor market, particularly as wage growth continues to strengthen despite declining inflation. In July, average hourly earnings rose 0.4% for the month, beating the 0.3% estimate from economists polled by Dow Jones.

“We’re actually seeing now that inflation is falling faster than wage growth is slowing, which means real wages are actually rising,” Wilson said.

“They are signs that we could have a so-called soft landing as the Fed tries to manage and address inflation, while also trying to ensure that we continue to have a strong labor market,” Wilson said. “

— CNBC’s Jeff Cox contributed reporting.

Leave a Reply

Your email address will not be published. Required fields are marked *