November Employment Report Shows U.S. Economy Added 263,000 Jobs - WSJ
S E E D E D C O N T E N T
The U.S. economy added 263,000 jobs in November and the jobless rate remained at 3.7%, signs of continued strength in the labor market.
The November payrolls gain compared with an upwardly revised 284,000 jobs in October, the Labor Department said Friday. Payrolls grew in leisure and hospitality, healthcare and government. Retailers and transportation-and-warehousing companies cut jobs in a sign of weak holiday hiring.
Average hourly earnings grew 5.1% in November from a year earlier, the department said. Wage growth has remained elevated but roughly stable after a sharp increase earlier in the year.
November job growth was roughly in line with the previous three months, when payrolls grew an average of 282,000 a month. Job growth continues to exceed the 2019 monthly average of 164,000, though gains have slowed from the first half of the year.
The job market has remained resilient this year, with employers still seeking to hire despite an uncertain economic outlook and elevated recession fears. Low unemployment and wage gains have helped fuel consumer spending , the economy’s main engine.
One big question is how long that strength can last as the Federal Reserve aggressively raises interest rates to tame inflation. Some companies in technology, entertainment and real estate are laying off workers , but demand for workers continues to outpace the number of unemployed people looking for work.
Economists are concerned that higher interest rates will trigger more widespread layoffs and a recession in the next year, as has typically occurred during prior episodes of rapid rate rises. They are closely monitoring the pace of hiring for early signs of shifts in labor-market momentum.
“An employer is going to start reducing hiring long before they start letting go of their existing workforce,” said Guy Berger, principal economist at LinkedIn. “That’s the first lever.”
Rising unemployment could follow, he said, as job seekers have fewer available opportunities. Continuing claims, which reflect the number of people seeking ongoing unemployment benefits, are drifting upward in a sign of labor-market cooling, Mr. Berger said.
On Wednesday, Federal Reserve Chair Jerome Powell indicated the central bank is on track to raise interest rates by a half-percentage point at its next meeting, scaling back from an unprecedented series of four 0.75-point rate rises . Fed officials are hoping higher rates will trigger less competition for workers and slower wage increases, taking some pressure off consumer prices.
This week, CNN said it was laying off employees and DoorDash Inc. said it would trim its corporate staffing levels by about 1,250. AMC Networks Inc. said in a memo to employees that it plans to lay off about 20% of its U.S. workforce .
Corporate layoff announcements generally have been concentrated in the technology industry and sectors of the economy sensitive to interest rates such as housing and finance. Other businesses are quickly scooping up laid-off workers as job openings remain well above prepandemic levels, even in sectors such as real estate.
LodeStar Software Solutions, a small software company that helps mortgage lenders accurately disclose fees to consumers, recently posted an opening for a customer-service role, said Jim Paolino, chief executive of the Conshohocken, Pa.-based company.
Mr. Paolino quickly received about 130 résumés for the job, which entails account management. He held screening calls with 10 applicants, eight of whom had lost their jobs at mortgage companies.
“It’s actually a great time to hire right now,” he said. “There has been an influx of talent in our industry and to the market because a lot of larger companies have done pretty large-scale layoffs.”
Companies are still largely avoiding job cuts because demand for goods and services is solid. Personal spending increased 0.8% from the prior month, the Commerce Department said Thursday.
Some firms also are hesitant to lay off employees because they found it so difficult to rehire as the economy recovered from the pandemic downturn.
“Demand restarted, and they couldn’t hire fast enough,” said Becky Frankiewicz, president and chief commercial officer of staffing firm ManpowerGroup . “There’s still this aftershock of, ‘I want to hold on to the talent that I have.’”
Companies are still offering hiring bonuses to attract talent, but the rationale has shifted some from a year ago. Employers are expecting inflation to come down and bonuses give them more flexibility to dial back compensation than wage increases do, she said.
“If you still have a talent shortage and you don’t want to lock in at higher wages across all your roles, what do you do? You do bonuses,” Ms. Frankiewicz said.
Still, there are signs that spending could be reaching a limit, with some Americans dipping into savings or taking on credit-card debt to finance purchases. The personal-saving rate was 2.3% in October, its lowest level since 2.1% in July 2005.
David Blake, president of Iowa-based Blue-9 Pet Products, said sales have been roughly flat this year, a shift from previous years when the 10-person manufacturer and seller of dog-training accessories posted double-digit sales growth.
Pet owners appear to be cutting back on some discretionary purchases as they face higher prices for staples like groceries, he said.
“Whether we’re in a recession or going to have a recession or not, the fact still remains that the inflation out there is having an impact on spending,” said Mr. Blake.
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Some good news there for the nation.
Inflation is easing, employment is booming, wages are growing, the markets are recovering, the housing crisis is improving and our budget deficit is lower by a trillion dollars this year alone. Things are looking up for everyone. The gop says, "Woe is me!"
Why do I feel like I should be under the covers ready for a bedtime story?
My comment is of the nonfiction variety...
I don't think so. It isn't any more nonfiction than the last 6 times you posted it.
So post some verifiable facts to rebut it. "I don't think so" does not qualify as a rebuttal.
But lacking context
And we all are getting a great deal on everyday goods and services that still cost significantly more than two years ago but a little bit less than a few months ago.
Nitwits rejoice.
As Covid supply issues are easing and the economic effects of Putin's War in Ukraine are waning things are finally getting better!
[Deleted]
No, just look outside your bubble and see!
Things are finally looking up after Trump...
Funny .... huge belly laugh ....... thx!
The only thing Americans are praying for is relief from Brandon the human fuck up machine in the White House. Two more years of this administration's bullshit; and Democrat denial; is far too long!
No, that is incorrect, or was Nov 8th a fluke?
Nov 8th will go down as one of the dumbest days in US history. Where the party that drove the US into a ditch in two short years was rewarded; after the POTUS threatened to use the US military against anyone that didn't agree with him twice in speeches.
Tin horn dictators everywhere took notes for the next time Brandon opened his mouth to criticize them.
Yet, things were in the crapper in 2020...
According to leftist loons Trump caused the world wide pandemic. Despite all of the massive evidence of it originating in China; and hitting Europe and Africa first before traveling to the US.
TDS is a wonderful thing; and even with Trump out of office there is no cure! It allows the inflicted to live in Bizarro World; where up is down; left is right; and Brandon and the Democrats didn't drive this country into a ditch!
Can you provide links for that ?
Here is one.
And if you listen to the video, the narrator says it is the third time he said the US would use military to defend Taiwan.
I could be wrong but I don't think Ronin was referring to international policies.
You're probably right. Try this article............
Caused? No, but he made it worse than it should have been for political reasons...
To say he threatened Americans with military force is a stretch.
The economy is recovering nicely on its own, despite Biden's disastrous policies
Well, six fed rate increases in less than a year might have something to do with it. To the tune of nearly 4 full points.
Thank God the Fed is completely independent from the boob in the Executive office
And none of it is to the level it was at when the human fuck up took office.
No, that is not how it works. Global inflation was caused by Covid spending and supply chain issues plus Putin's War in Ukraine...
Ours was compounded by Trump's and the gop's reckless tax cuts and wild spending during good economic times making it impossible to do anything but what Biden and the Democrats are doing by cutting the budget deficit and raising interest rates...
The reason the last twelve month measure of inflation dropped from 8.7% in Sep to 7.7% in Oct is because there was negligible increase in October. Gas is down, rents decreasing, home and car prices dropped.
Just admit it. Things are already improving!
Yes they are, as defined by 2.2 above.
Apply liberally, lather, rinse and repeat as necessary.....
Gas is down, I don't know about car or home purchase prices, I'm certain that when the cost of borrowing is factored into these large purchases, the overall cost is higher.
This week, Federal Chairman Powell said that they will continue raising interest rates to fight inflation but at a slower pace. Powell said that despite a recent slowdown in price growth, officials are looking for “substantially more evidence to get comfort that inflation is actually declining".
Improving would be an improvement from pre-Biden levels (no matter how you spin it). This isn't improving at all.
Then why don't we go back to pre-trump or pre-Obama? Why didn't Trump turn inflation back to the Eisenhower Era?
If inflation is easing and employment is booming and the stock market improving and wages are rising and supplies are mounting and and gas prices are going down then that is by definition improving.
Please explain how the tax cut in 2018 caused this inflation. Did the Bush tax cut or Obama tax cut cause inflation? What wild spending in 2018-2020 are you looking at? Is postponing and/or forgiving student debt inflationary?
I'm only going back to before it was fucked up by the human fuck up machine. Why bring up irrelevelant shit?
Trump's Tax cuts increased the amount of spendable income chasing available goods and services resulting in inflation.
You seem to ignoring that shit got fucked up after 20 January 2020. This isn't improving, this is repairing. There's a difference.
Why didn't that also happen with the Bush and the Obama tax cuts?
Do you remember 2020 as good times?
They did. We have always had inflation. You have to add on Covid's disruption of the supply chain and Vlad Putin's War in Ukraine to rusult in recent global inflation.
Inflation is the result of more money (Tax Cuts, Increased Government Spending plus Covid Stimulus Money) chasing limited goods and services. Econ 101...
The only answer you will get for those questions - "But Trruuummmmppppp!!!!!!!"
Hardly.
Trump is running yet Trumpsters protest!
Skipped past Bush's Great Recession huh?
Yes, since the topic was inflation and its causes.
BTW, wasn't that a global recession not just a US one. You can see that it's global inflation but are blind to a global recession - telling.
[deleted]
You can't justify Biden's fucked up policies that exacerbated small problems that drove the country in to a ditch so you try (and fail) to make it about somebody who no longer has part in the process.
US economy growing more the expected.
Yes, to you things only get worse! Sad!
Yes, it still is. Guess our technocrats aren't as smart as they think.
Righties can see pyramids from that river!
"Winter is coming. Build The Wall! Our future is dark and full of terrors", is all you've got...
Perhaps, unlike you, I only know what I think.
The housing bubble is close to bursting. There will be a cascade affect with housing material manufacturers, furniture, and mortgage companies. Wonder if they learned anything from the last housing market crash on how to handle it? So far it doesn't look like it.
Wages were up 5.1%, still behind inflation.
Good thing Social Security payments go up 10%!
The economy is growing and inflation waning...
Lol .... liberal rounding error ..... it’s 8.7% and Biden had nothing to do with it. Well, that’s not entirely true. SS increases are legislatively pinned to the inflation rate so yeah ..... thx Joe since inflation is your baby.
8.7% not 10.
Another fictional nonfiction comment??
Only in Democrat la la land is the slight lowering of the inflation they caused a good thing.
"Hey everyone rejoice! The Fed is fixing our massive spending fuckups! The housing market bubble is close to bursting; and we are in a recession- though we changed the definition of recession (because that is all we can do when reality is against us). But don't worry we have a lame duck House and there is a massive Omnibus in the works. We can bring inflation roaring back to full life! Remember, vote early, vote often, vote Democrat!"
Lol
No, the annual rate of inflation at the end of October dropped a full point to 7.7% because inflation is waning. If you were honest you would acknowledge this. But, instead, you use misleading old numbers.
He was referencing the SS increase for next year, not the annual inflation rate.
You would think one would make the connection with the comment being replied to.
I think that the labor participation rate also fell, especially for male adults. Pre-COVID, Feb 2020 the overall rate was 63.4, last month it was 62.1. The combination of job growth and lower participation will continue to be an inflation driver. Male adults was 70.2, fifteen years ago it was 75.8%. Apparently more men are tired of working for a living.
Did Biden cause global inflation ?
Is a pigs ass pork?
If you are saying (it's hard to tell) that Biden caused global inflation can you say how he did that ?
Yes, Boomers are retiring by the millions...
Biden as President of the United States has turned things around. Things are gradually getting better month by month. Actions like cutting the deficit and raising rates take a while to become evident but the monthly numbers prove they are working already.
The US economy doesn't turn on a dime!
It is going to be smooth sailing by 2024...
Okay, so you admit inflation is improving?
That's not the issue. Labor force participation in the 25-54 age group actually dropped in November and the rate as a whole (which excludes people over 64) remains lower than pre pandemic.
What goes up also comes down. Things get worse and then times always get better...
Sorry it blows your downer but, they are!
If Trump was a good leader he would not have gotten such a world class whoopin!
Any Econ 101 student knows inflation can be caused by too much money chasing too few goods and in turn raising the cost of those goods. Biden has been printed money in one form or another since he got in office. He’s been drunk on printing free money. When you’re in charge of nearly a quarter of the global economy, sure that affects global inflation. So of course Biden has responsibility for it. It would be obtuse to think otherwise.
If the fed hadn’t finally gotten proactive and started raising rates we’d be asshole deep in double digit inflation. Zero credit to Biden for those actions since the fed is completely independent from the executive branch.
How quick you Biden apologists forget Biden’s inflation journey. From, it’s no problem and just transitionary, to 40 year record inflation, to taking credit for lowering record inflation by a marginal amount from its 40 year record high.
The spin the left is trying to put on the inflation turd Biden has helped drop amuses me. Almost as funny as the nitwits who defend him while he’s screwing them into the ground.
Dumbasses.
Good that the housing bubble is bursting!
Of course mortgages cost much more now so monthly payments remain much higher.
Will that excess be inflationary?
In post 4.0 Vic stated
Your reply in 4.1 was
So in 4.1.2 Just Jim said
and in 4.1.5 your reply to that was
In 4.1.6 (that you replied to) I pointed out that you seemed unable to follow your own conversation as the initial post was about wages not keeping up with inflation , you pivoted to Social Security payments going up by 10%, you were corrected by Jim that the Social Security payments were only going up by 8.7%, not the 10% you posted. And I replied that Just Jim was correcting your incorrect statement of Social Security payments going up by 10% when you tried to go back to inflation and state that the number Jim provided was an old number. You were just incorrect all the way around as the thread was wages not keeping up with inflation.
Nowhere in my comment was I talking about inflation. All I did was point out that your reply to Jim was wrong as you didn't understand what Jim was commenting on. It's a shame you can't follow your own thread.
Is SS increase of 8.7% greater than 7.7%?
Again, my comment in 4.1.6 had absolutely nothing to do with inflation or the social security increase or wages. All I did was correct your misunderstanding in what you were responding to because you were not replying to what you though you were replying to. Do you understand now? Again, I was NOT talking about wage growth, the social security increase or inflation. All I was doing was correcting you where you were wrong in what the hell you were talking about.
Rising inflation is a global problem
U.S. policy choices are not to blame
Key takeaways:
EPI .... a left leaning group.
They must have collectively missed Econ class the day they discussed inflation. That or they are simply following their liberal bias. Take your pick.
Any supposition that policy of one quarter of the the global economy, is not affecting inflation, is just ignorant. No links needed. That’s just common sense.
No other way to put it.
In-house researchers maintain their standing in the academic community by publishing findings in prestigious peer-reviewed academic journals and by delivering public lectures, speeches, and testimony. Our methods for ensuring our research methodologies are exemplary and include the use of highly qualified researchers and reviews by outside experts from across the ideological spectrum.
(same link)
Who said that ? That's whom you should admonish.
Your own article :
Already did.
You and the article you linked have been appropriately admonished.
The acceleration of inflation is global Difference in core inflation rates from December 2020 to May 2022 compared with 2 years pre-pandemic “normal” inflation
You couldn't admonish your way out of a paper bag.
You’d be among the last to properly judge that.
No doubt about it.
The budget deficit pre-covid in 2019 was $984.4 billion, post-covid in 2022 it will be about $1.375 trillion. Is government spending less inflationary than individual investment and spending?
What were El Trumpo's budget deficits in the last two years of Trump's budgets in 2020 and 2021?
The first budget Joe Biden signed was for 2022.
Very large because of the COVID anomaly.
Even economic neophytes know it is more complicated. The Covid-19 stimulus bills contributed to current inflation by increasing the money supply during a time when the supply of goods and services shrank which will always result in inflation. Add in the global supply chain collapse and Putin's War in Ukraine and BINGO, everybody loses...
COVID-19 doesn’t happen and the triggering would have gone nuclear because Trump would have won another term.
The left needed a pandemic to beat him.
Pretty sad.
Yes, how many Dems in the House and Senate voted against it? Isn't Biden asking for more Covid funding from the lame duck Congress?
Trump asked for it and Trump signed it!
Will the gop support helping businesses?
I asked you about the latest Biden request.
You've got me, they seem to be taking an anti-business tone lately.