The U.S. economy continued to see healthygrowth in May, indicating the labor market is still strong despite growing fears of a recession amid sky-high inflation and an increasingly aggressive Federal Reserve.
Employers added 390,000 jobs in May, the Labor Department said in its monthly payroll report released Friday, beating the 328,000 jobs forecast by Refinitiv economists. The unemployment rate, meanwhile, held steady at 3.6%, the lowest level since February 2020.Job gains were broad-based, with the biggest increases in the pandemic-battered leisure and hospitality industry , professional and business services and transportation and warehousing .
"This does not look like a labor market about to tip into recession," said Daniel Zhao, senior economist at jobs review website Glassdoor. "Job gains were healthier than expected and the labor force participation rate ticked up. Despite concerns about a slowdown and even a recession, the labor market’s fundamentals look healthy."
Businesses are eager to onboard new employees and are raising wages in order to attract workers as they confront a labor shortage. There were roughly 11.4 million open jobs at the end of April – near a record high – while the number of Americans quitting their job is also well-above pre-pandemic levels.
But the strong labor market is in part fueling record-high inflation, as millions of workers are seeing the largest pay gains in years – the result of companies competing with one another for a limited number of employees. Earnings rose 5.2% in May from the previous year, much higher than the pre-pandemic average of 3%. There are signs that growth could be moderating though, with earnings climbing just 0.3% on a monthly basis, slower than Refinitiv expected.
So what, with inflation 8%
What? Fox News reporting on good news about the economy? Hallelujah..,
People still don't want to work. Stuck in the chair watching TV
You just posted the opposite 5 hours ago!
Employees have pay raised but companies are getting back their money and more because of higher prices and inflation.
This is where my growth is going
一个月,破产重组.一天,房子没了.一个星期,变脸了.一年半,垂死挣扎,生离死别.恢复正常.信任?品质?担保?
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Source: Reuters - 🏆 2. / 97 Read more »