The U.S. economy added 250,000 jobs in October, unemployment stays at 3.7 percent

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In this file photo taken on September 27, 2018 an employee works on the assembly line for the Ford 2018 and 2019 F-150 truck at the Ford Motor Company's Rouge Complex in Dearborn, Michigan. (Jeff Kowalsky/AFP/Getty Images)

The U.S. economy added 250,000 jobs in October, unemployment stays at 3.7 percent

By Danielle Paquette   November 2 at 8:34 AM

 

 

 

 

The U.S. economy added 250,000 jobs in Octoberfederal economists reported Friday. The unemployment rate stayed at 3.7 percent.

The government’s latest labor market snapshot is the last before the midterm elections, showing a stronger rebound than analysts widely expected.

The report arrived three weeks after Hurricane Michael pummeled the Florida panhandle and Georgia, knocking some people temporarily out of work and dampening economic activity in the southeast.

Michael’s destruction followed Hurricane Florence, which devastated homes and roads in the Carolinas with flooding.

The typical worker’s earnings rose by 3.1 percent over the year that ended in October, breaking the 3-percent yearly growth ceiling for the

The country now has 7.1 million openings, a record high, the Labor Department announced Tuesday.

Companies are under pressure to offer higher paychecks at a time when there are more jobs vacant than applicants to fill them, said Andrew Chamberlain, chief economist at Glassdoor, a jobs site.

“Average wages are finally starting to pick up, especially for some lower-skilled positions,” he said. “Maintenance workers, bank tellers, cashiers, cooks — employers are running out of workers for many of these roles.”

Health care, manufacturing, construction, transportation and warehousing fueled October’s particularly strong job growth.

Employment at hospitals, nursing homes and other medical facilities surged by 36,000 positions.

Manufacturing jobs jumped by 32,000, with the largest gains stemming from goods production.

The country’s jobless ratehit a near half-century low in September. The president has embraced this data point. “Just out: 3.7% Unemployment is the lowest number since 1969!” Trump tweeted on Oct. 5.

Some analysts have tied rising pay to legislative moves. Eighteen states have increased their minimum wages this year.

Speaking Thursday at The Washington Post, White House economic adviser Larry Kudlow said he stands against that kind of policy at a national level.

“My view is a federal minimum wage is a terrible idea. A terrible idea,” he said, adding that kind of law would hurt small businesses.

Job growth in the U.S. slowed considerably in September, thanks largely to Hurricane Florence’s devastating run through the Carolinas.

About 313,000 people did not clock in at work in September because of the rough weather, according to the Bureau of Labor Statistics.

Economists say tens of thousands of others likely missed paychecks in October, due to the damage from Hurricane Michael.

Service and construction workers are most likely to lose shifts during and after major storms. Pounding rain shutters stores, wrecks roads and delays shipments of building materials.

Business falters amid severe weather, according to a Federal Reserve study. It can take months for economic activity to pick back up.

“You can’t work on a jobs site if it’s underwater,” said Robert Frick, corporate economist at the Navy Federal Credit Union in Virginia.

 

 

Source: The Washington Post

 

 

 

 

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