Despite adding 187,000 jobs in August, the U.S. unemployment rate unexpectedly rose to 3.8 percent, according to the Labor Department, reports The New York Times.
The unemployment rate rose from 3.5 percent in July, likely since more people started to look for work. Individuals who are not in the labor force and not actively looking for work are not counted as unemployed, according to the Labor Department.
Hiring weakened over the summer, following 29 months during which job growth never dipped below 200,000, seasonally adjusted. While the labor market seems to be cooling off post-pandemic, it may be stabilizing in a better place than it was before 2020, according to the report.
“The good news is, it’s a normal that favors workers more than we’re used to over the past 25 years,” said Justin Bloesch, an assistant professor of economics at Cornell University.
Transportation and warehousing lost 34,000 jobs in August and employment in truck transportation fell by 37,000 jobs. Employment showed little change over the month in other industries like retail trade, manufacturing, and wholesale trade. Full Story
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