October employment report beats expectations with 531,000 jobs

The US economy showed signs of getting back on track after 531,000 jobs were added in October and beat expectations in a rare good news for a beleaguered president Joe Biden.

The Labor Department revealed that non-farm wages increased by 513,000 and the unemployment rate fell to 4.6 percent after the summer struggled.

This growth was led by 164,000 new jobs in the leisure and hospitality industries, with Americans re-traveling in large numbers and returning to hotels and restaurants.

The numbers beat economists’ estimates. The general consensus was that jobs would only increase by 420,000 as the US tried to rebound from delta growth over the summer.

It was welcome news for the White House after Republicans outperformed Democrats in Tuesday’s election and fell below expectations over the summer.

Still, conservatives said the numbers should have been better.

Job growth remains disappointing, and the reason is clear: Democrats’ war on small business is fueling inflation, disrupting key supply chains and causing record national labor shortages, said Alfredo Ortiz, president of the Job Creators Network. There is a shortage.

Retailers and Republicans fear new vaccine rules that go into effect on January 4 could exacerbate labor shortages and put pressure on businesses during the holiday season.

Biden is due to address the numbers in an address later on Friday morning.

He is expected to link the good news with the impact of his $1.9 trillion pandemic relief.

It comes after two weeks of tough times for the president. His massive domestic agenda – a $1.7 trillion social spending plan and an infrastructure package – has lingered in Congress even after several deadlines.

And this week, Democrats lost the gubernatorial race in Virginia — where the results will be seen as a bellwether for next year’s midterms — and stick only narrowly in New Jersey.

The unemployment rate fell from 4.8% in September to 4.6%. While companies desperately want to hire, millions are unemployed and out of the labor force.

This labor market disconnect was blamed on increased care needs during the pandemic, fears of contracting the coronavirus, early retirement, massive savings and career changes, as well as an aging population and recently terminated unemployment benefits. Is. Many people who moved out of cities during the pandemic have yet to return, there may also be a mismatch between open jobs and location.

There were 10.4 million unfinished jobs as of the end of August. Nearly five million people have left the labor force since the pandemic began.

Federal Reserve Chairman Jerome Powell told reporters on Wednesday that ‘these constraints in labor supply should ease with further progress on controlling the virus, supporting gains in employment and economic activity.’

The Fed announced this month that it would begin increasing the amount being pumped back into the economy through monthly bond purchases.

There are concerns that the White House’s vaccine mandate, which goes into effect January 4 and applies to federal government contractors and businesses with 100 or more employees, could exacerbate the workforce.

Strikes have also increased as workers take advantage of the tight labor market to demand higher wages and better conditions. The nearly 10,000 Deer & October payrolls had no effect because it began in the middle of the period during which the government surveyed households and businesses for employment reports.

The scramble for workers continued to spur wage increases, which, along with record savings, should help reduce consumer spending in the holiday season, although wages are lower than inflation and goods shortages abound.

Nancy Pelosi returned to Capitol Hill Friday morning to work on the phone and attempt to pass Democrats’ spending bills today.

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