Economy Adds More Jobs Than Expected

Washington, DC, Nov. 5, 2010 -- The economy added jobs in October for the first time in five months, although the unemployment rate remained at 9.6%.

The Labor Department said Friday its survey showed a net gain of 151,000 jobs last month, the first increase since May. Private employers hired 159,000 workers, the best since April.

The job gains were much stronger than Wall Street analysts had expected.

Employers also extended the average work week to 34.3 hours, up by one-tenth. The additional jobs and longer work week should boost Americans' incomes and provide fuel for more consumer spending.

The department also revised August and September's payroll figures higher. The private sector added 103,000 more jobs in those two months than previously estimated.

So far this year, the economy has added 874,000 jobs and over a million in the private sector. 

The construction industry added a small number of jobs, while the manufacturing sector lost 7,000 positions. Factory employment has been roughly unchanged since May.

The economy needs to add at least 100,000 net new jobs a month just to keep up with population growth.