13:30 US ECON: Nov NFP Falls 533k but Jobless at 6.7% Washington, December 5.
The US in November saw its biggest job loss in 34 years and the unemployment
rate rose to its highest level in 15 years, as the retail and service sectors
shed workers at a pace not seen in decades, the Labor Department said today.
The economy lost 533,000 jobs in November, much more than the 340,000 lost
jobs economists were expecting and the largest drop since December 1974.
Excluding gains in the public sector, the economy lost 540,000 jobs, also
the worst showing since December 1974.
The economy has now lost 1.91 mln jobs since January. Economists have said
the economy needs to create about 100,000 jobs each month to keep up with new
workers, but with November's numbers, the economy has averaged a loss of about
155,000 jobs per month over the last 12 months.
Labor also downwardly revised September and October payrolls, by 199,000,
for a cumulative two-month total of 723,000 jobs lost.
The unemployment rate, taken from a separate survey of households, rose to
6.7% in November as expected. This is the highest level of unemployment since
October 1993.
The official unemployment rate only includes workers who are actively
seeking a job.
The labor force participation rate, which includes the number of working-
aged people with jobs, fell sharply to 65.8%, the lowest since May 1988.
Services jobs are usually a major factor in job gains, but 370,000 jobs were
lost in this sector in November, the largest monthly decline since August 1983.
Labor also downwardly revised September and October services jobs by 132,000
jobs, for a cumulative total of 439,000 jobs lost in the sector in those months.
Service-sector jobs have declined for the last six months.
Construction jobs fell once again, by 82,000, and manufacturing jobs lost
85,000. Manufacturing jobs have not increased in 29 months. Retail jobs fell by
91,300, the largest drop since 1956, and November was the 12th straight month of
job losses in this sector.
Government jobs, usually a steady addition to job growth, added only 7,000
jobs in November. Education and health services, the only other sector to see a
gain, added 52,000 jobs.
Average hourly wages rose 0.4% November, twice as fast as expected. That
translated to a gain of 7 cents, putting the average hourly wage at $18.30.
The average workweek fell to 33.5 hours, the lowest in the history of the
survey, which started in 1964. -- [email protected]
The US in November saw its biggest job loss in 34 years and the unemployment
rate rose to its highest level in 15 years, as the retail and service sectors
shed workers at a pace not seen in decades, the Labor Department said today.
The economy lost 533,000 jobs in November, much more than the 340,000 lost
jobs economists were expecting and the largest drop since December 1974.
Excluding gains in the public sector, the economy lost 540,000 jobs, also
the worst showing since December 1974.
The economy has now lost 1.91 mln jobs since January. Economists have said
the economy needs to create about 100,000 jobs each month to keep up with new
workers, but with November's numbers, the economy has averaged a loss of about
155,000 jobs per month over the last 12 months.
Labor also downwardly revised September and October payrolls, by 199,000,
for a cumulative two-month total of 723,000 jobs lost.
The unemployment rate, taken from a separate survey of households, rose to
6.7% in November as expected. This is the highest level of unemployment since
October 1993.
The official unemployment rate only includes workers who are actively
seeking a job.
The labor force participation rate, which includes the number of working-
aged people with jobs, fell sharply to 65.8%, the lowest since May 1988.
Services jobs are usually a major factor in job gains, but 370,000 jobs were
lost in this sector in November, the largest monthly decline since August 1983.
Labor also downwardly revised September and October services jobs by 132,000
jobs, for a cumulative total of 439,000 jobs lost in the sector in those months.
Service-sector jobs have declined for the last six months.
Construction jobs fell once again, by 82,000, and manufacturing jobs lost
85,000. Manufacturing jobs have not increased in 29 months. Retail jobs fell by
91,300, the largest drop since 1956, and November was the 12th straight month of
job losses in this sector.
Government jobs, usually a steady addition to job growth, added only 7,000
jobs in November. Education and health services, the only other sector to see a
gain, added 52,000 jobs.
Average hourly wages rose 0.4% November, twice as fast as expected. That
translated to a gain of 7 cents, putting the average hourly wage at $18.30.
The average workweek fell to 33.5 hours, the lowest in the history of the
survey, which started in 1964. -- [email protected]