facebook linkedin twitter

US Employers Added 224,000 Jobs in June, Surpassing Expectations

July 5, 2019 by Dan McCue
Líderes de la economía floridana pronostican disminución en la creación de empleos para el 2019 en cumbre en Orlando. (Martin E. Comas/Orlando Sentinel/TNS)

WASHINGTON – U.S. employers dramatically ramped up their hiring in June, adding 224,000 jobs and far surpassing economists’ expectations that were closer to 165,000 jobs would be added, the Labor Department reported Friday.

The new numbers are particularly good news after a lackluster 72,000 jobs were added to the economy in May.

The question  now is whether the Federal Reserve will move forward with an anticipated cut in interest rates later this month, or if the new jobs numbers suggest enough of a healthy bounce in the economy to put off a rate cut indefinitely.

Gad Levanon, chief economist for North America at The Conference Board, a nonpartisan think tank, said while employment growth in 2019 is clearly slower than in 2018, the change is modest thus far. 

“Today’s report reduces concerns about a more significant slowdown in the US economy,” Levanon said. “The manufacturing sector added 17,000 jobs in June, after essentially no growth in the previous three months. Encouragingly, the number of jobs in the temporary help industry, one of the best leading indicators of employment, is growing again in the second quarter, after dropping in the first quarter.

“We expect the US economy to continue to grow slightly above its long-term two percent trend through at least the end of the year, generating enough job growth to continue tightening the labor market. In such a scenario, the need to cut the Federal Funds rate would lessen, Levanon  added.

The job gains touched nearly every segment of the economy. Construction companies added 21,000 workers after having increased their payrolls by only 5,000 in May.

Manufacturers hired 17,000, up from just 3,000 in May. Health care and social assistance added 50,500 jobs. Hiring by transportation and warehousing companies increased 23,900.

The government sector was a major source of hiring, adding 33,000 jobs in June. Almost all those gains were at the local level.

The unemployment rate ticked up to 3.7% in June  from 3.6% for the previous two months, reflecting an influx of people seeking jobs who were initially counted as unemployed.

Average hourly wages rose 3.1% from a year ago.

Economy

Stores Kick Off Black Friday But Pandemic Woes Linger

NEW YORK (AP) — Retailers are expected to usher in the unofficial start to the holiday shopping season Friday with... Read More

NEW YORK (AP) — Retailers are expected to usher in the unofficial start to the holiday shopping season Friday with bigger crowds than last year in a closer step toward normalcy. But the fallout from the pandemic continues to weigh on businesses and shoppers' minds. Buoyed... Read More

US Jobless Claims Hit 52-Year Low After Seasonal Adjustments

WASHINGTON (AP) — The number of Americans applying for unemployment benefits plummeted last week to the lowest level in more... Read More

WASHINGTON (AP) — The number of Americans applying for unemployment benefits plummeted last week to the lowest level in more than half a century, another sign that the U.S. job market is rebounding rapidly from last year's coronavirus recession. Jobless claims dropped by 71,000 to 199,000,... Read More

Beyond Manchin: Dems' $2T Bill Faces Senate Gauntlet

WASHINGTON (AP) — It took half a year but Democrats have driven President Joe Biden’s $2 trillion package of social... Read More

WASHINGTON (AP) — It took half a year but Democrats have driven President Joe Biden’s $2 trillion package of social and climate initiatives through the House. It gets no easier in the Senate, where painful Republican amendments, restrictive rules and Joe Manchin lurk. Facing unbroken GOP opposition, Democrats... Read More

Biden to Keep Powell as Fed Chair, Brainard Gets Vice Chair

WASHINGTON (AP) — President Joe Biden announced Monday that he's nominating Jerome Powell for a second four-year term as Federal... Read More

WASHINGTON (AP) — President Joe Biden announced Monday that he's nominating Jerome Powell for a second four-year term as Federal Reserve chair, endorsing Powell's stewardship of the economy through a brutal pandemic recession in which the Fed's ultra-low rate policies helped bolster confidence and revitalize the... Read More

House Moves Toward OK of Dems' Sweeping Social, Climate Bill

WASHINGTON (AP) — Democrats brushed aside months-long divisions and approached House passage of their expansive social and environment bill Friday,... Read More

WASHINGTON (AP) — Democrats brushed aside months-long divisions and approached House passage of their expansive social and environment bill Friday, as President Joe Biden and his party neared a defining win in their drive to use their control of government to funnel its resources toward their... Read More

Divided House Debates Dems' Expansive Social, Climate Bill

WASHINGTON (AP) — A divided House finally launched debate Thursday on Democrats' expansive social and environment bill, with party leaders hoping... Read More

WASHINGTON (AP) — A divided House finally launched debate Thursday on Democrats' expansive social and environment bill, with party leaders hoping that cost estimates expected from Congress' top fiscal analyst would nail down moderate lawmakers' votes and allow passage by week's end. Two weeks after centrists' objections... Read More

News From The Well
scroll top