The month’s hiring totals marked an improvement from a dismal November report in which the US economy added just 210,000 jobs, well below expectations.
Despite the lower-than-expected payrolls, the US unemployment rate fell to 3.9 percent, down from 4.2 percent in November and near what the Federal Reserve considers to be maximum employment.
Despite the record uptick in 2021, payrolls remain well below their pre-pandemic levels. Employment is still more than three million jobs lower than it was in February 2020.in November, while a record 4.5 million Americans quit their positions. by the Labor Department showed 207,000 initial jobless claims for the week ending on Jan. 1. Unemployment claims, seen as a proxy for layoffs, remain near historic lows, signaling a solid landscape for American workers.
Economists will be watching closely to see how the Omicron variant impacts jobs growth, as well as the economy at large, in the near future. The job report was based on a mid-month survey of businesses and households, near the start of the Omicron surge.
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