“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
WASHINGTON (AP) — Hiring picked up slightly in July, and the
unemployment rate dipped to 9.1 percent. The modest improvement
could ease fears of another recession, but it wasn’t enough to
prevent another wild day of trading on Wall Street.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
Employers added 117,000 jobs last month, the Labor Department said
Friday. The figure was the best in three months. And the job totals
for May and June were revised up.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
Retailers, factories and health care firms were among the many
industries that added workers. Even another loss of government jobs
wasn’t too worrisome, after considering that most of them stemmed
from the temporary shutdown in Minnesota, which has since
ended.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
The brighter outlook for hiring sparked a brief stock market rally
one day after the Dow Jones industrial average lost 500 points. But
after gaining 171 points after the market opened, the Dow erased
those gains and fluctuated throughout the day. Investors seemed
focused on Europe’s response to its debt crisis.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
The jobs report surpassed most economists’ expectations. But other
recent data show the U.S. economy remains weak and isn’t generating
enough jobs to lower the unemployment rate.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
For the first half of the year, the economy grew at an annual rate
of just 0.8 percent. In June, consumers cut back on spending for
the first time in 20 months, burdened by higher gas prices and
stagnant wages. Manufacturers are barely growing.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
At least 250,000 net new jobs a month are needed to rapidly reduce
unemployment. The rate has topped 9 percent in every month except
two since the recession officially ended in June 2009.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
“This pauses the conversation on the U.S. slipping back into
recession; it does not end the conversation,” said Tom Porcelli,
chief U.S. economist at RBC Capital Markets.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
President Barack Obama on Friday pointed to the modest job gains to
press Congress to extend a Social Security tax cut enacted this
year that put an extra $1,000 to $2,000 in most workers’ pockets.
He also called for a renewal of emergency unemployment benefits,
which provide up to 99 weeks of support.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
The tax cuts and extra benefits are scheduled to expire at the end
of this year. Economists have cautioned that the end of the two
programs could weaken growth in 2012.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
In July, businesses added 154,000 jobs across many industries.
Governments cut 37,000 jobs last month, the ninth straight drop.
Still, 23,000 of those losses were almost entirely because of the
shutdown of Minnesota’s state government.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
The government said the economy added 53,000 jobs in May, up from
an earlier estimate of 25,000, and 46,000 in June, up from 18,000.
June’s total was still the weakest in nine months.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
“These numbers are not great,” said Ian Shepherdson, an economist
at High Frequency Economics, in a note to clients. “But they are a
long way from recession territory.”
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
Hiring in July was broad-based. Manufacturers added 24,000 jobs in
July, as auto companies laid off fewer workers in July than usual.
Retailers hired a net total of 26,000 employees. Employment in
health care grew 31,000. Hotels, restaurants, and other leisure and
hospitality companies added 17,000.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
The unemployment rate fell from 9.2 percent in June partly because
some unemployed workers stopped looking for work. That means
they’re no longer counted as unemployed.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
As a result, the number of unemployed people fell to 13.9 million,
down from 14.1 million. Still, that’s nearly double the total
before the recession.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
The percentage of people either working or searching for jobs fell
to 63.9 percent, the lowest in 27 years.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
Workers did see some pay gains last month. Average hourly wages
rose 10 cents to $23.13.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
The number of people working part time who would prefer full-time
work declined.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
“font-family: Arial, Helvetica, sans-serif; font-size: 13px; -webkit-border-horizontal-spacing: 2px; -webkit-border-vertical-spacing: 2px;”>
When you add them to the number of people who are either unemployed
or have given up looking for work, 25.1 million people were
“underemployed” in July. That’s 16.1 percent of the work force,
down from 16.2 percent in June.
“font-family: Verdana, Times, serif; font-size: 12px; text-decoration: none; line-height: 13px; color: #000000; font: normal normal normal 12px/normal verdana, helvetica, arial;”>
