The U.S. Labor
Department announced on Friday that nonfarm payrolls rose by 661,000 in September
after a downwardly revised 1,489,000 advance in the prior month (originally a
gain of 1,371,000), reflecting the continued resumption of economic activity
that had been curtailed due to the coronavirus pandemic and efforts to contain
it.
According to
the report, employment rose sharply in leisure and hospitality (+318,000 jobs),
in retail trade (+142,000), in health care and social assistance (+108,000),
and in professional and business services (+89,000), but declined significantly
in government (-216,000 jobs), mainly in state and local government education.
The
unemployment rate fell to 7.9 percent in September from 8.4 percent in August.
Economists had
forecast the nonfarm payrolls to increase by 850,000 and the jobless rate to
drop to 8.2 percent.
The labor force
participation rate decreased by 0.3 percentage point in September to 61.4
percent, while hourly earnings for private-sector workers edged up 0.1 percent
m-o-m (or $0.02) to $29.47, following a revised 0.3 percent m-o-m increase in August
(originally a gain of 0.4 percent m-o-m). Economists had forecast the average
hourly earnings to increase 0.2 percent m-o-m in September. Over the year,
average hourly earnings increased by 4.7 percent in September, following a
revised 4.6 percent rise in August (originally an increase of 4.7 percent).
The average
workweek increased by 0.1 hour to 34.7 hours in September, exceeding
economists' forecast for 34.6 hours.
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