Work Notes
The workforce participation rate is slowly improving
The portion of the U.S. population working or looking for work, known as the labor for participation rate, has risen to 62.9 percent from 62.3 percent since September of last year, according to ADP.
Previously, Labor Department figures show the participation rate had been falling since 2008, mainly because of Baby Boomer retirements. That's expected to be the long-term trend.
But part of the drop in participation was caused by a slim post-recession job market. Discouraged workers started to leave the labor force. Many chose to retire, go on disability or return to school. But many are returning to the work force or are now seeking jobs again. Because they are needed, employers are luring them with rising pay. Some are being selected in spite of the fact that they will need more training, according to Manpower's Northeast division.
Hundreds of thousands of Americans are returning to the improving labor market to cope with a worker shortage.
Average earnings for private sector workers in the same job for at least 12 months jumped 4.1 percent in the fourth quarter, according to ADP.
