The U.S. economy added 178,000 non-farm payroll positions in November, according to today’s monthly employment report released by the Bureau of Labor Statistics (BLS). This seasonally adjusted figure—a significant increase from October’s downward revised addition of 142,000 jobs—fell slightly short of the Wall Street Journal‘s expectation of 180,000.
The national unemployment rate declined from October’s 4.9% to 4.6%, while the labor-force participation rate was little changed at 62.7%. Average hourly wages for private, non-farm workers declined by 3 cents to $25.89, following an 11-cent gain in October.
Economists believe October’s report was depressed by Hurricane Matthew, and that November’s boost is significantly attributed to the return to normal weather conditions. According to the Wall Street Journal, December’s employment report is clouded with uncertainty, as Federal Reserve officials will meet mid-December, and are expected to raise interest rates for the first time in a year.
The construction industry continued to grow in November, adding 19,000 payroll positions. Construction jobs added in November outpace October’s addition of 14,000 jobs, but still lag far behind the 65,000 positions added in November 2015. The manufacturing sector continued to shed jobs, losing 4,000 jobs in November. Meanwhile, payrolls in the architectural and engineering services sector lost 1,000 positions in November, following six consecutive months of growth.
Lawrence Yun, chief economist for the National Association of Realtors, sized up the report. “Today’s November jobs report can be summed up as: not bad, but not great,” he said. “The good news is that 178,000 new job additions are positive enough for the Federal Reserve to raise the fed funds rate by a quarter point in a few weeks. It’s likely there will be two to three more rate hikes in 2017. “
Yun continued, “Looking at the details, there were fewer manufacturing jobs created last month. Furthermore, reflecting the growing preference to shop online, retail trade jobs were shaved and jobs at warehouses rose. Construction jobs are being added as the housing sector continues to show promising growth.”
Read the full release from the Bureau of Labor Statistic for more key figures.
