Many US jobs created in August pay low wages

AP News
Posted: Sep 07, 2012 5:51 PM
Many US jobs created in August pay low wages

August was a weak month of hiring with just 96,000 new jobs created. While many industries added jobs, they largely came in low-paying fields.

For example, the hospitality industry — which is mainly restaurants and hotels — led all categories with 34,000 new jobs. Retailers added 6,100.

On the other hand, manufacturing jobs, which usually pay above-average wages, fell by 15,000. It was the biggest monthly drop in two years. The mining and logging industry, which includes oil and gas drilling, shed 2,000 jobs.

The economy typically creates more lower-paying jobs when unemployment is high, economists say. That's because those who are unemployed are desperate and willing to fill those positions.

Here's a look at the jobs added or lost in each major industry category:

Industry August 2012 July 2012
Construction 1,000 0
Manufacturing -15,000 23,000
Retail 6,100 -1,800
Transportation, warehousing 5,700 10,600
Information (telecom, publishing) 3,000 8,000
Financial services 7,000 -2,000
Professional services (legal, engineering, temp help) 28,000 47,000
Education and health 22,000 38,000
Hotels, restaurants, entertainment 34,000 28,000
Government -7,000 -21,000