Job growth slows in America and unemployment rises Economy

Job growth in the United States slowed more than expected last October, partly due to strikes by workers at a number of auto manufacturers.

This has reduced manufacturing sector jobs, amid declining salary inflation.

The US Department of Labor’s Bureau of Labor Statistics said on Friday in its closely watched jobs report that non-farm payrolls increased by 150,000 jobs last October.

Economists polled by Reuters had expected jobs to increase by 180,000 jobs.

The American economy needs to create approximately 100,000 jobs per month to keep pace with the increase in the working-age population.

Jobs available in manufacturing industries decreased by 35,000 after increasing by 14,000 last September.

Salaries decline

The Bureau of Labor Statistics reported last week that at least 30,000 members of the union representing workers at auto manufacturers participated in a strike at the time of the October jobs survey.

With the end of this strike, there appears to be a possibility of increasing the available jobs this November.

The average hourly wage increased by 0.2% after registering a 0.3% increase last September.

In the 12 months until last October, wages increased 4.1% after rising 4.3% last September.

The unemployment rate in the United States increased from 3.8 to 3.9% in the same period.

The report reinforces financial market expectations that… Federal Reserve Board The US Central Bank may have finished raising interest rates for the current session.

The Federal Reserve (the US central bank) kept interest rates Unchanged the day before yesterday, Wednesday, at 5.50%, which is consistent with market expectations.

praise

President Joe Biden praised the job opportunity numbers that have been created, adding in a statement that the percentage of working-age Americans who have jobs is higher than pre-pandemic levels.

He said, “The unemployment rate has remained less than 4% for 21 consecutive months, which is the longest period in more than 50 years.”

For her part, Lydia Boussour, chief economist at EY Group, reported in a note that the employment slowdown was widespread, noting that job opportunities in the services sector recorded growth at a much slower pace.

“Moderating wage growth, coupled with a slowdown in demand for goods and services, a decline in rent inflation and a decline in purchasing power, should lead to a further decline in inflation,” EY economists said.