U.S. Private Sector Job Quality Index (JQI)® November 2019

NEW YORK, Dec. 6, 2019 /PRNewswire-PRWeb/ -- Following the release of the Employment Situation Report for November 2019 by the U.S. Bureau of Labor Statistics (BLS), the U.S. Private Sector Job Quality Index (JQI)® has been revised to a level of 80.39, representing a decline of 0.04 % from its level one month ago and reflecting an increase in the proportion of U.S. production and non-supervisory (P&NS) jobs paying less than the mean weekly income of all P&NS jobs, relative to those jobs paying more than such mean. The mean weekly income of all P&NS jobs as of the current reading (reflecting the level as of September 2019) was $794, a change of 0.9% from its level the month prior.

The JQ-Instanttm preliminary read of the 254,000 increase in all private sector, non-farm payrolls in November 2019 shows that approximately 47.76% of the change in private sector jobs in October was in industry sectors offering P&NS jobs with an average weekly income below the above mean weekly income of all P&NS jobs (i.e. "Low Quality Jobs"). The JQ-Instant readings for the months of October and November were impacted by the departure and return of manufacturing workers associated with the strike at General Motors Corporation. The average of the JQI-Instant readings for the two months indicated 65.53% Low Quality Job formation for that period.

Daniel Alpert, co-creator of the U.S. Private Sector Job Quality Index, said, "We are excited to generate the first monthly release of the JQI and its companion index, the JQ-Instant ? relating to today's private sector job gains data. The JQI declined insubstantially as expected, showing continued pressure from low quality employment. The JQ-Instant was impacted in October and November by the exit and entry of striking workers at General Motors, and the two months are best viewed on average. Averaged together they indicate about 65% of the net jobs gained were of low quality during the period."

This news release presents data from the most recent JQI reading calculated through the month immediately prior to the month covered by this release. The JQI assesses job quality in the United States by measuring desirable higher-wage/higher-hour jobs versus lower-wage/lower-hour jobs. The JQI offers a near-real time analytical tool to policymakers, researchers and financial market participants with relevance to a variety of trends in the economy at large. The JQI analyzes a representative sample of the economy using production and non-supervisory job (P&NS) data from 180 different industry groups spanning across all 20 super-sectors into which the BLS groups establishments. The principal data utilized is contained in the Current Employment Survey (CES, also often referred to as the establishment survey) P&NS data on average weekly hours, average hourly wage and total employment for each given industry group (seasonally adjusted, in all cases). The JQI is updated on a monthly basis contemporaneously with the release of new CES data from the BLS.

The JQ-Instant reading is for the month covered by this release and has implications for the likely direction of the JQI itself in future months. As the JQI is reported as a three-month rolling average of actual monthly readings, significant imbalances (readings varying from an even distribution between high and low quality jobs) in the JQ-Instant results would suggest future JQI readings moving in the direction of the dominant side of such distribution.

The U.S. Private Sector Job Quality Index (patent pending) is a joint development of the Program on the Law and Regulation of Financial Institutions and Markets at the Jack G. Clarke Institute of Cornell Law School, the University of Missouri Kansas City Department of Economics, the Coalition for a Prosperous America, and the Global Institute for Sustainable Prosperity.

For more information, and to read the full report, visit https://www.jobqualityindex.com/.

[© 2019 JQI IP Holdings LLC.] "Private Sector Job Quality Index" and "JQI" are registered trademarks of JQI IP Holdings LLC. The Private Sector Job Quality Index is patent pending, application number US 62/900,923. Cornell logo and Cornell Law School and Jack G. Clarke Program names and references used with permission.

SOURCE U.S. Private Sector Job Quality Index