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- Nonfarm payrolls increase above expectations in April
Nonfarm payrolls increase above expectations in April
The
U.S. Labor Department announced on Friday that nonfarm payrolls increased by
263,000 in April after a downwardly revised 189,000 gain in the prior month
(originally an increase of 196,000). That was the largest increase since
January.
According
to the report, employment rose notably in professional and business services (76,000
jobs), construction (33,000), health care (+27,000), and social assistance (+26,000).
At
the same time, the unemployment rate fell to 3.6 percent in April from 3.8
percent in March. That was the lowest rate since December 1969.
Economists
had forecast 185,000 new jobs and the jobless rate to stay at 3.8 percent.
The
labor force participation rate dropped by 0.2 percentage point to 62.8 percent
in April, while hourly earnings for private-sector workers rose 0.2 percent
m-o-m (6 cents) to $27.77, following a revised 0.2 percent m-o-m gain in March
(originally a 0.1 percent uptick). Economists had forecast a 0.3 percent m-o-m
advance in the average hourly earnings. Over the year, average hourly earnings have
increased by 3.2 percent.
The
average workweek decreased by 0.1 hour to 34.4 hours in April, compared to economists’
forecast of 34.5 hours.
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