Legislative Hall at the Delaware State Capitol in Dover, Delaware
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Job growth in state and local governments helped to expand the US labor market in June.
Government employment saw the largest monthly sector growth at 73,000, according to data from the Federal Bureau of Labor Statistics released Thursday. In other words, government jobs accounted for about half of the increase in total agricultural salaries in June.
“The government at the state and local level accounted for a large portion of the employment in June,” said Mark Hamrick, senior economic analyst at Bankrate. It “helped us to have the highest expectations of total pay,” he said.
State government salaries have increased by 47,000, while local governments have added 33,000 jobs. The majority of these new jobs at both levels have been in education, data show.
Meanwhile, federal salaries reduced 7,000 jobs that month. That’s not surprising given the continued focus on the government’s employment cut initiative under President Donald Trump.
Bankrate Hamrick warned that it would be difficult for state and local governments to maintain such strong growth.
Healthcare and social support have seen the next biggest monthly growth, adding over 58,000 positions. In combination with the government, the two sectors accounted for around nine of the 10 new jobs that balanced in June.
Leisure, hospitality and construction were also carried out between the industry, according to BLS data.
However, labor growth has been limited by contraction in several sectors. Professional services, business services, manufacturing and wholesalers each lost around 7,000 net employment in June.