U.S. Hiring Slows, But Unemployment Falls to 8-Year Low

  • 2/5/2023
  • 18:10
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Washington, Rabi'II 26, 1437, Feb 5, 2016, SPA -- U.S. hiring slowed in January from recent months, but the unemployment rate fell to an eight-year low and wages surged, the government reported Friday, suggesting the labor-market recovery remains firm. The Labor Department said employers added 151,000 jobs last month, down significantly from 262,000 in December and 280,000 in November. The national unemployment rate fell 0.1 percentage point to 4.9 percent, the lowest level since February 2008. The sharp deceleration in January job creation from the fourth quarter’s strong pace largely reflected a return to normal after the warmest temperatures in years supported hiring in weather-sensitive sectors like construction. Manufacturing added 29,000 jobs last month, even though other indicators show factory activity weakening as the rising value of the dollar and weak economies of major trade partners have hurt U.S. exports. The healthcare sector added 44,000 jobs. But other sectors saw job losses in January. Education shed 38,500 workers, the transportation and warehousing sector shrank by 20,300, and the U.S. Postal Service cut 6,000 jobs. Meanwhile, wages rebounded sharply last month after being flat in December. Average hourly earnings increased 0.5 percent. For all of 2015, wages increased 2.5 percent, evidence that the past years of job growth are helping to generate lager pay increases. Following a sharp slowdown in economic growth in the fourth quarter and significant stock-market declines, the closely watched January employment report could add to concerns the U.S. economic outlook was deteriorating. The deceleration in hiring could hurt the prospects of an interest-rate increase by the Federal Reserve (Fed) in March. --SPA 18:23 LOCAL TIME 15:23 GMT www.spa.gov.sa/w

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