Payroll Growth Up 132,000, Unemployment Up to 4.5%
Washington, DC, December 8, 2006--Hiring continued at a steady, strong pace in November, easing worries that the economy is weakening.
Nonfarm payrolls increased by 132,000 in November, according to the Labor Department. The unemployment rate ticked up to 4.5% from 4.4% in October, which was a five-year low, according to a separate household survey.
The gain in payrolls was higher than expected. Economists were forecasting an average gain of 112,000 in November. The rise in the unemployment rate was in line with expectations.
Payrolls growth in October and September was revised higher by a net 42,000 jobs.
Average hourly earnings increased 3 cents, or 0.2%, to $16.94 in November. Wage earnings are up 4.1% in the past year. This matches the gain in September, which was the highest level since 2001.
The average workweek was steady at 33.9 hours. Total hours worked in the economy increased 0.1%.
Both the manufacturing workweek and factory overtime fell by 6 minutes in November.
The gain in payroll employment was close to its trend rate this year. Payroll employment has grown by an average 149,000 per month so far this year.
Private-sector hiring picked up to 114,000 in November from 51,000 in October. Factory employment fell by 15,000.
Service-sector employment rose by 172,000, after 141,000 in October. Most of the gains came in professional services and retail trade.
Retail employment rose by 20,000. This was biggest employment gain in the sector in a year.
Professional and business service employment rose by 43,000 in November.
Temporary help jobs rose by 5,000.
The goods-producing sectors lost 40,000 jobs in November.
Construction jobs fell by 29,000 in November. This was the second straight sharp decline. The slowdown in housing cost about 17,000 jobs.
The factory sector lost 15,000 jobs.
