The US Labor Statistics Bureau of Statistics (BLS) released new employment figures on Friday, 7 February, according to which the growth of new jobs in the US has been lower than expectations. However, the unemployment rate has declined.
According to the report, Nonfarm Payrols increased 1.43 lakhs in January, while an increase of 1.69 lakhs was estimated by Dow Jones. On the other hand, the unemployment rate has come down to 4%. The unemployment rate is the percentage that represents those who do not have work and change on the basis of economic conditions.
Important economic indicator
According to BLS report,
- The U-6 unemployment rate (which covers the unemployed as well as part-time working and full-time job finders) was 7.5%, which is in line with the expected figures.
- The Labor Force Participation Rate was recorded at 62.6%, which is slightly higher than the estimated 62.5%.
- Government payrolls reached 32,000 compared to an estimate of 25,000.
Trump’s first job report of second term
On January 20, a government was formed in the US once again under the leadership of Donald Trump. This is the first job report for the Trump administration, showing what is the impact of their policies on the labor market. Trump’s economic agenda involves cutting taxes, promoting economic growth and imposing high tariffs on major trading partners to secure American trade.
These employment figures reflect the current status of the American economy and indicate what the direction of the labor market could be in the coming months.
