US employers added a solid 531,000 jobs in October as the American economy appeared to withstand the impact of coronavirus and continued its recovery.
The strong number provides a boost to Joe Biden, whose presidency has been battered by political setbacks in recent months as it struggles to enact his domestic agenda and suffered a major defeat in the race for governor of Virginia.
October’s job growth outpaced the 450,000 new jobs economists had predicted from the job market, mitigating fears of slow growth in the jobs sector after far fewer jobs were added in September than was expected.
The boost in jobs was expected after Covid cases and hospitalization rates declined In Oktober.
“It is a historically strong recovery… our economy is on the move this morning,” Biden said in remarks on Friday.
Biden pointed to the $1.9tn relief bill that he passed earlier this year and the deployment of the Covid-19 vaccine as reasons why “the economy is starting to work for more Americans”.
“Not only are more Americans working, working Americans are seeing their paychecks go up," hy het gesê. “Vaccinated workers are going back to work, vaccinated shoppers are going back to stores.”
The rise has meant a continued decrease in the unemployment rate, which was 4.6% In Oktober. The decrease in unemployment was mostly seen among white and Hispanic workers, while the Black and Asian unemployment rate has remained unchanged. The Black unemployment rate stands at 7.9% – more than 3% higher than the white unemployment rate of 4.2%.
October’s job surge was largely seen in the leisure and hospitality industry, which includes hotels, entertainment and restaurants. The industry was bolstered by 164,000 jobs in October, reaching the highest number of people employed in the industry since the start of the pandemic.
Other industries that saw increased growth in October include professional and business services, which includes marketing and accounting, manufacturing and transportation and warehousing.
Hourly and weekly wages also rose in October, a continuation of an upward trend over the last few months, particularly as employers have had to entice workers to apply for jobs amid labor shortages.