The Fact
The labor-force participation rate is the labor force divided by the civilian noninstitutional population age 16 and older. The labor force includes people who are employed plus people who meet the definition of unemployed.
What This Means
Unlike the unemployment rate, the participation rate shows how much of the adult civilian noninstitutional population is either working or actively looking for work. It can reveal labor-market withdrawal that the unemployment rate alone does not show.
Sources
- U.S. Bureau of Labor Statistics, CPS Concepts and Definitions. Accessed October 2, 2026. https://www.bls.gov/cps/definitions.htm