September 1996 — 1996-09-06

Advance copies of this statement are made available to the press under lock-up conditions with the explicit understanding that the data are embargoed until 8:30 a.m. Eastern Daylight Time. Mr. Chairman and Members of the Committee: I would like to thank you for this opportunity to comment on the employment and unemployment data released this morning. The unemployment rate fell to 5.1 percent in August, from 5.4 percent in July. Nonfarm payroll employment rose by 250,000 in August, about in line with the average monthly gains thus far this year. The August increase of 173,000 in private sector employment, however, fell short of the 215,000 monthly gain for the seven months ending in July. For the second month in a row, employment growth in services was somewhat slower than normal. Still, with an addition of 81,000 jobs, it accounted for nearly half of the over-the-month rise in private nonfarm employment.