Employment Rose by 943K in July, Unemployment Declined to 5.4%
Washington, DC, September 3, 2021-- Total nonfarm payroll employment rose by 943,000 in July, and the unemployment rate declined by 0.5 percentage point to 5.4%, the U.S. Bureau of Labor Statistics reported.
Notable job gains occurred in leisure and hospitality, in local government, education, and in professional and business services.
“U.S. payrolls grew by 235,000 and the jobless rate fell to 5.2% in August, as employers pulled back sharply on hiring during a surge of Covid-19 cases driven by the Delta variant,” reports the Wall Street Journal.
“August payroll growth was well below economists’ estimates. It also was down from monthly payroll gains of 1.1 million in July and 962,000 in June, the Labor Department said on Friday.
"Hiring was particularly weak in services sectors that involve in-person interaction. Employment in leisure and hospitality held steady after adding an average of 350,000 jobs a month over the previous six months. Retailers cut jobs in August.
“The rising number of Covid-19 cases tied to the Delta variant resulted in slower job growth for two reasons, economists say. Businesses, particularly in services sectors requiring in-person contact, held off on hiring amid heightened pandemic uncertainty. Jobless individuals who are fearful of Covid-19 health also were slower to return to the labor market until the virus abates.”