US economy adds 263,000 jobs in November, beating expectations in a boost to Joe Biden

The economy added jobs in leisure and hospitality but lost jobs in retail.

Eric Garcia
Friday 02 December 2022 15:52 GMT
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(Getty Images)

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The Bureau of Labor Statistics reported that the US economy added 263,000 jobs during the month of November, beating expectations and offering a boon to President Joe Biden.

Moody’s Analytics had estimated that the economy would add only 190,000 jobs whereas human resources management giant ADP estimated that the economy added 127,000 jobs last month.

The US unemployment rate remained at 3.7 per cent. Each of the major worker groups remained virtually unchanged: 3.4 per cent of adult men were unemployed; 3.3 per cent of adult women; 11.3 per cent of teenagers; 3.2 per cent of white people; 5.7 per cent of Black people; 2.7 per cent of Asian Americans; and 3.9 per cent of Hispanics.

The numbers are a boost to Mr Biden, especially as he prepares to officially announce whether he will seek a second term for president in 2024. On Thursday, the Senate passed legislation that would enforce a tentative agreement he brokered between the railroad companies and unions to avoid a strike.

At the same time, the number of people who lost their jobs permanently rose by 127,000 to 1.4m in November, though the labor force participation rate remained unchanged at 62.1 per cent. The latter number is still 1.3 per cent lower than it was in February 2020 before the Covid-19 pandemic.

Leisure and hospitality jobs saw the biggest growth, adding 88,000 jobs, including 62,000 in food services and drinking places. Healthcare jobs rose by 45,000 in November. But retail jobs dropped by 30,000 jobs in November, while employment in transportation and warehousing lost 15,000 jobs.

At the same time, hourly earnings grew by 18 cents, or by 0.6 per cent. Hourly earnings have grown by 5.1 per cent in the past 12 years.

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