[U.S. Department of Commerce, Bureau of the Census, Current Population Reports-Labor Force, February 1959, Washington, D.C., Series P-57, No. 199]

This report supplements the "Combined Employment and Unemployment" release issued jointly today by the Departments of Commerce and Labor. The joint release, issued as a press statement, summarizes the material presented fn full detall in this report, along with related data from the Department of Labor

THE MONTHLY REPORT ON THE LABOR FORCE: JANUARY 1959

(Seasonal adjustment: Seasonal adjustment factors are recomputed at the conclusion of each year and revised ones issued for current use, if the pattern has changed significantly. Because the seasonal adjustment of unemployment for the summer months of 1958 presented special problems, a study is being made of several alternative methods. In the meantime, it has been decided to continue using the method and specific factors issued last year, as described on p. 6)

Job changes between December and January were just about normal for this time of year, with the customary post-Christmas lull in retail trade and further cutbacks in outdoor work. Total civilian employment fell by 1.3 million over the month to 62.7 million in the week ending January 17, while unemployment rose by 600,000 to 4.7 million. The drop in employment was larger than the rise in unemployment because most of those leaving holiday-season jobs (mainly women) withdrew from the labor force without seeking other work.

The largely seasonal developments during the last 2 or 3 months are in marked contrast to the sharp downtrend over this same period a year ago. At that time employment was moving downward not only in seasonal lines but also in "hard goods" manufacturing and other basic industries. The recent stability except for seasonal changes represents some slowdown, however, in the rate of recovery from the recession low point in employment.

Agricultural employment dipped over the month to 4.7 million, one of the lowest levels on record in this long-time declining sector. Nonagricultural employment accounted for the largest part of the seasonal job loss in January, falling by 1.1 million to 58 million. On a seasonally adjusted basis, there has been a substantial pickup in nonfarm jobs since the low point in economic activity last spring. The January level, however, was no higher than in the first quarter of 1957, despite continued growth in the population of working age since that time. TABLE A.-Summary of estimates: January 1959 and January and December 1958 [Thousands of persons 14 years of age and over]

The seasonally adjusted unemployment rate remained virtually unchanged at 6 percent, that is, the jobless increase was about average for January. This marked the second consecutive month in which this rate did not register a significant decline. From April through November of 1958, the rate dropped from 72 percent to 6 percent, as the total unemployed fell by about 1 million from peak recession levels after allowance for seasonal variations.

The seasonal rise in unemployment this January was only half as large as a year earlier, when the jobless total moved up by 1.1 million for the biggest increase in any single month during the recession. Moreover, in further contrast to the situation in early 1958, about one-fifith of the net additions to the unemployed this year came from manufacturing industries as compared with twofifths in January 1958.

The number of usual full-time workers on part time because of slack work or other economic reasons rose by 175,000 to 1,250,000, about the same increase as in the beginning of 1956 and 1957. In January 1958, however, this "economic part-time" group climbed by some 650,000 to 1,950,000, or close to its recession and postwar peak.

This report, released today by Robert W. Burgess, Director, Bureau of the Census, Department of Commerce, is based on the Bureau's Current Population Survey. The estimates are based on a sample and are subject to sampling variability; see explanation beginning on page 8.

LABOR FORCE

The total labor force-including the civilian employed, the unemployed, and the Armed Forces-was estimated at 70 million for the week ending January 17, down by 700,000 from December. This reduction resulted from the withdrawals of housewives and other temporary workers from holiday season jobs. The December-January drop in the labor force was less than that recorded in the two previous years, but fairly close to the average decline at this time of year during the postwar decade as a whole.

The total labor force was about 600,000 larger than at the start of 1958. Although this overall growth was not especially large in relation to the long-range trend, changes among the various age-sex groups in the population indicated a continuation of the more persistent postwar developments in 1959. For example, middle-aged women (45 to 64 years) continued to account for a disproportionate part of labor force growth. They represented only 10 percent of the labor force but two-thirds of the increase from January 1958 to January 1959. The rate of participation for these women (proportion of their population in the labor force) stood at 43 percent in January 1959 as compared with 41 percent a year earlier. At the same time, both the number and the proportion of men past 65 who were employed or seeking work continued to decline.

EMPLOYMENT AND HOURS OF WORK

Employment fell by 1.3 million to 62.7 million in January, about in line with seasonal expectations. Job changes within most major industrial sectors were also about seasonal, with the exception of construction where the cutbacks were smaller than normal for January. In part, this was due to the fact that large numbers of layoffs had already occurred in December when the weather was unusually severe.

The employed total has now declined by 2.7 million from its seasonal peak last summer, mainly reflecting the usual midyear to yearend contraction in the farm work force. The drop in nonfarm employment was less than usually occurs over this period, however. Among the various industrial sectors that compose nonfarm employment, some have continued a moderate growth despite the recession while others have shown rather slow recovery from earlier cutbacks. The former pattern is best exemplified by the service industries and State and local governments which were at peak levels for the month in January 1959; the latter, by manufacturing and allied sectors which were still below prerecession levels.

TABLE B.-Persons employed in nonagricultural industries, by hours worked during the survey week: January 1959 and January and December 1958 [Thousands of persons 14 years of age and over]