The delayed jobs report shows employment gains topped economists’ expectations.
U.S. payrolls beat expectations in November, even as the unemployment rate rose more than anticipated, a combination that suggests further cooling in the labor market.
Employers added 64,000 jobs last month after shedding 105,000 positions in October, according to delayed data from the Bureau of Labor Statistics (BLS).
November’s jobless rate rose to 4.6 percent—the highest since September 2021— from 4.4 percent in September.
Economists had expected a gain of 50,000 jobs and an unemployment rate of 4.4 percent.
The bureau also revised September payroll growth down by 11,000, from 119,000 to 108,000. August payroll employment was also adjusted lower by 22,000, from a loss of 4,000 jobs to a loss of 26,000 jobs.
Average hourly earnings edged up by 0.1 percent, or 5 cents, to $36.86—compared with the 0.4 percent gain registered in October. On a 12-month basis, average hourly earnings have slowed to 3.5 percent from 3.7 percent.
Health care and construction accounted for most of the employment gains, with payrolls ballooning by 46,000 and by 28,000, respectively. Social assistance jobs also rose by 18,000.
Transportation and warehousing employment fell by 18,000, “reflecting a job loss in couriers and messengers.” The sector’s headcount has fallen by 78,000 since January.
Several factors have dragged down transportation and warehousing payrolls over the past 12 months, including softening freight demand, slower goods movement, and bankruptcies among key carriers such as Yellow.
The federal workforce also eliminated 6,000 positions after a 162,000 drop in October. Federal government employment has plunged by 271,000 since the beginning of the year.
“Federal employees on furlough during the government shutdown were counted as employed in the establishment survey because they received pay, even if later than usual, for the pay period that included the 12th of the month,” the BLS noted.
“Employees on paid leave or receiving ongoing severance pay are counted as employed in the establishment survey.”
Economic observers have paid close attention to federal payrolls, attempting to determine whether the current administration’s policies are weighing on the civil workforce.
Full-time employment levels fell by 983,000 from September, while part-time payrolls soared by more than 1 million.
Individuals working two or more jobs topped 9.3 million, rising from 8.8 million.
The labor force participation rate ticked higher to 62.5 percent, while average weekly hours also rose by a hair to 34.3.
By Andrew Moran
