This article is from the source 'guardian' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at http://www.theguardian.com/business/2013/sep/06/us-jobless-numbers-economic-recovery

The article has changed 3 times. There is an RSS feed of changes available.

Version 0 Version 1
US unemployment rate drops to 7.3% amid sluggish economic recovery US unemployment rate drops to 7.3% amid sluggish economic recovery
(35 minutes later)
Unemployment in the US fell slightly to 7.3% in July, its lowest level in over four years, but the sluggish pace of recovery continued as the economy added just 169,000 new jobs.Unemployment in the US fell slightly to 7.3% in July, its lowest level in over four years, but the sluggish pace of recovery continued as the economy added just 169,000 new jobs.
The latest nonfarm payroll figures come at a crucial moment for the Federal Reserve, which is weighing when and whether to cut its $85bn-a-month economic stimulus programme, known as quantitative easing (QE). Fed chairman Ben Bernanke has tied cuts in QE to the health of the job market. The federal reserve open markets committee (FOMC), which is split on when to pull back on the QE programme, meets on September 17-18. The latest nonfarm payroll figures come at a crucial moment for the Federal Reserve, which is weighing when and whether to cut its $85bn-a-month economic stimulus programme, known as quantitative easing (QE). Fed chairman Ben Bernanke has tied cuts in QE to the health of the job market. The Federal Reserve open markets committee (FOMC), which is split on when to pull back on the QE programme, meets on September 17-18.
The jobless rate has now fallen from 8.1% a year ago but the pace of job creation remains slow and the Labor Department revised down its numbers for the previous two months after concluding job growth was less than expected.The jobless rate has now fallen from 8.1% a year ago but the pace of job creation remains slow and the Labor Department revised down its numbers for the previous two months after concluding job growth was less than expected.
The US added jobs in retail, healthcare, food services and drinking places, professional and business services, and wholesale trade in August, said the bureau of labor statistics. The US added jobs in retail, healthcare, food services and drinking places, professional and business services and wholesale trade in August, said the bureau of labor statistics.
The number of long-term unemployed (those jobless for 27 weeks or more) was largely unchanged at 4.3m, these individuals accounted for 37.9% of the unemployed. Unemployment for teenagers remained extremely high at 22.7% and for black people, at 13%, and Hispanics, at 9.3%.The number of long-term unemployed (those jobless for 27 weeks or more) was largely unchanged at 4.3m, these individuals accounted for 37.9% of the unemployed. Unemployment for teenagers remained extremely high at 22.7% and for black people, at 13%, and Hispanics, at 9.3%.
The number of people not in the workforce in August rose to 90.47m, from 89.95m in July.The number of people not in the workforce in August rose to 90.47m, from 89.95m in July.
Republican house speaker John Boehner called the figures "mediocre". Gus Faucher, senior economist at PNC Bank said they were "disappointing". "It's not just the headline number, it's also the downward revisions to the previous months. The unemployment rate fell but for the wrong reasons, less people are participating in the labour force."
June's nonfarm payroll figure was revised down from 188,000 to 172,000 and July was revised from 162,000 to 104,000. The revisions mean the US added 74,000 less jobs in June and July than previously reported.June's nonfarm payroll figure was revised down from 188,000 to 172,000 and July was revised from 162,000 to 104,000. The revisions mean the US added 74,000 less jobs in June and July than previously reported.
On Thursday payroll company ADP said US businesses added 176,000 jobs in August, fewer than in June and July but in line with the economists' expectations. "The labour market is not as strong as we had previously thought. I think this means the Fed is less likely to taper off QE when it meets later this month," said Faucher.
On Thursday payroll company ADP said US businesses added 176,000 jobs in August, fewer than in June and July but in line with economists' expectations.
Companies in all industries and of all sizes hired in August, ADP said, with professional and business services firms adding 50,000 jobs. Manufacturers created 5,000, reversing a drop in July, and construction firms added 4,000.Companies in all industries and of all sizes hired in August, ADP said, with professional and business services firms adding 50,000 jobs. Manufacturers created 5,000, reversing a drop in July, and construction firms added 4,000.
Mark Zandi, chief economist of Moody's Analytics, which helps compile ADP's report, said: "It is steady as she goes in the job market. Job gains in August were consistent with increases experienced over the past two-plus years. There is little evidence that fiscal austerity and health care reform have had a significant impact on the job market." Mark Zandi, chief economist of Moody's Analytics, which helps compile ADP's report, said: "It is steady as she goes in the job market. Job gains in August were consistent with increases experienced over the past two-plus years. There is little evidence that fiscal austerity and healthcare reform have had a significant impact on the job market."