There was a drop in self-employed people in the U.S. to the lowest level in eight years. This shows that there is no chance for nurturing new businesses. According to the Labor Department data, there were 8.68 million self-employed people in August. This was found to be the fewest since January 2002.
According to the Labor Department data, excluding government agencies, the private payrolls were found to increase by 67,000 in August which had increased by 107,000 in July. There was an increase in the unemployment rate from 9.5 percent in July to 9.6 percent in August. It was reported that 550,000 people are added to the labor force in the first four months of the year.
The measure of self-employment including people whose businesses are incorporated is found to decrease to 13.9 million in the second quarter of the year. It accounted for 7.2 percent which was found to be the lowest in the past eight years.
The contribution of the self-employed which are both incorporated and unincorporated to the total U.S. employment was found to be 10 percent. A range of jobs including business consultants, construction workers, store owners, and handymen are performed by the self-employed people. Bureau of Labor Statistics, reported of poor performance among the construction and retail businesses at the time of recession.