3 things to know about the November 2019 jobs report
New jobs continue to be added as unemployment and underemployment inch down.
Job growth in November 2019 far exceeded financial experts’ predictions. The Bureau of Labor Statistics reported 266,000 jobs were added last month, according to its monthly statistical summary.
Unemployment is back down to 3.5 percent – from 3.6 in October – and matches an earlier record-setting low. In September, the rate was 3.5 percent, the lowest since 1969.
“The labor market is continuing at a vigorous pace, and American workers are in a position to find roles they want based on what’s most important to them, such as short commutes, unique benefits and company culture that aligns with their personal values,” CareerBuilder CEO Irina Novoselsky said. (Watch her full interview on Fox Business here.)
1. Four industries lead the way in hiring: Education and health services; manufacturing;
leisure and hospitality; and professional and business services.
Washington Post: “November’s tally was boosted by thousands of General Motors workers who returned to their jobs in late October after a lengthy strike. Roughly 54,000 new manufacturing jobs were added in November, BLS said, a number that included the GM workers returning. Manufacturing appears to have regained its footing a bit after several months of extreme pressure. Data showed that within manufacturing, jobs in motor vehicles and parts was up by 41,000 in November.”
Fox Business: “The education and health care industry was by far the strongest, accounting for a staggering 74,000 new workers last month. Health care, in particular, made up about 60,200 of those positions, further solidifying its status as a powerhouse in the labor market, while education was responsible for 13,600. Ambulatory care services contributed 33,900, while physicians made up about 16,100.”
2. Wages went up
CNN: “Thanks to the strong labor market, workers have been able to make some progress on wages, which are up 3.1% over the last 12 months. Annual wage increases have averaged 3% or greater every month since August 2018.”
USA Today: “Average hourly earnings increased 7 cents to $28.29, nudging the annual gain from an upwardly revised 3.2% to 3.1%. Yearly pay increases shot past 3% last year as employers jostled for a limited supply of workers.”
3. Retail jobs stagnate – even during the holidays – and mining is still losing jobs
CNBC:“As the holiday shopping season accelerated, retail companies added just 2,000 net hires. Mining also showed a loss of 7,000 positions, bringing to 19,000 the total jobs lost since May.”
Washington Post: “The retail trade stayed about unchanged, with employment rising in general merchandise stores, and car vehicle and parts dealers. But clothing stores shed about 18,000 jobs.”
Yahoo Finance: “Mining and logging industries lost 7,000 positions in November, while wholesale trade industries lost 4,300. That said, job gains slowed considerably for retail trade heading into the holiday season, with just 2,000 new jobs added in November after 22,000 additions in October.”
4. Underemployment inches down
Bloomberg: “The U-6, or underemployment rate, fell to 6.9%, matching the lowest level since 2000, from 7%; some analysts see this as a more accurate reflection of the labor market as it includes part-time workers who’d prefer a full-time position and those who aren’t actively looking.”
New York Times: “Revisions added another 41,000 jobs to September and October’s employment figures. And a broader measure of unemployment, which includes part-timers who would prefer full-time jobs and people who are too discouraged to look for work, inched down to 6.9 percent. Average monthly payroll gains for the past three months reached 205,000, a hefty number for the 11th year of an economic expansion.”