The US economy finished the season with discouraging development figures for December, including only 199,000 employees on the non-farming labour force.
Economists wanted much more than double that amount – 422,000 – hinting the US economy was getting better, but erratically, as individual shortages stressed employers. At the same time, before the Omicron coronavirus variant arrived, it threatened another recovery stall.
Figures released by the Bureau of Labor Statistics demonstrated that the US unemployment rate fell to 3.9 %. Job creation was top on hospitality and leisure, a vital recovery segment that included 53,000. Professional along with business services contributed 43,000 while manufacturing applied 26,000.
Michael Pearce, the senior US economist at Capital Economics, noted:
“The muted 199,000 gain in non-farm payrolls, as well as the additional muted expansion of labour force participation, propose that worker shortages have been turning into a larger restraint on employment development, even before the Omicron rise of infections, which may knock a huge selection of thousands off payrolls in January. However, the slower-than-anticipated speed of getting is set off by the record number of roles in 2021 & jobless claims documented at 207,000 very last week at the lowest level in fifty years.
Though the most recent numbers recommended continued anxiety throughout a US economy that had started rebounding strongly between waves of Covid disruption.