United States: Non-farm payrolls remain solid despite losing momentum in September
October 7, 2016
Non-farm payrolls grew 156,000 in September, which came in below August’s upwardly-revised increase of 167,000 (previously reported: +151,000). It did not meet market expectations that between 170,000 and 176,000 new jobs would be created and represented the weakest figure since June.
Despite the deceleration, September’s print was still solid thanks to the private sector which was solely responsible of new hiring, adding 167,000 jobs. This offset a decline in government hiring. The public sector slashed 11,000 jobs in September. According to the Bureau of Labor Statistics, “thus far this year, job growth has averaged 178,000 per month, compared with an average of 229,000 per month in 2015. In September, employment gains occurred in professional and business services and in health care.”
The unemployment rate, which is derived from a different survey, ticked up from 4.9% in August to 5.0% in September and labor participation also edged up, rising from 62.8% in August to 62.9% in September.
Author: Ricardo Aceves, Senior Economist