The Labor Force 2026: Change in Labor Force by Race
2018 by Laurie Northington in General
Although unemployment is down and an additional 10.5 million people are expected to be employed over the 2016 to 2026 decade, the diminishing rate of labor force growth due to an aging population and other changing demographics is projected to further slow the U.S. labor force participation rate. This is the third factoid in a series of six factoids detailing the projected demographic shifts in the workforce as reported by the Bureau of Labor Statistics in 2017 Q4. *See factoid one in this series for Labor Force Methodology
Due to the influence of immigration on population growth and the projected rise of participation rates among Asians and Hispanic immigrants, the labor force is expected to become more diverse. As the current population ages, the growth of White non-Hispanics in the labor force will decline further after falling 3.6 percent from 2006 to 2016 with an additional projected drop of 2.4 percent over another decade. Both the Hispanic and Asian groups will increase their share of the labor force to 20.6 percent and 7.2 percent by a projected 2026.
As the younger generation’s participation in the labor force declines, and the workers over 65 increases, the median age of the Civilian Labor Force is projected to continue upward. Regardless of race, the median age of the labor force has climbed since 1996 and by 2026 all races are expected to have a median age above 40 with the exception of Hispanics at age 39.3. The next three factoids in this series will focus on the Labor Force Participation Rate.
Source: U.S. Department of Labor, Bureau of Labor Statistics *projected