Job growth smashes expectations for February as unemployment falls back to 3.5%
Nonfarm payrolls grew far more than expected in February as companies continued to hire amid a growing coronavirus scare.
The Labor Department reported Friday that the U.S. economy added 273,000 new jobs during the month, while the unemployment rate was 3.5%, matching its lowest level in more than 50 years. An alternative measure of joblessness that counts those not looking for work and holding part-time jobs for economic reasons edged higher to 7%.
Economists surveyed by Dow Jones had been looking for payroll growth of 175,000 and a 3.5% jobless level. Average hourly earnings grew by 3% over the past year, in line with estimates, while the average work week, considered a key measure of productivity, nudge up to 34.4 hours.
Employment report: payrollsMonthly change, seasonally adjusted, in thousandsJan ’18May ’18Sep ’18Jan ’19May ’19Sep ’19Jan ’200100200300400500Source:BLSFebruary 20191
Gains were spread across a multitude of sectors.
Health care and social assistance led the way in job creation with 57,000 new positions. Food services and drinking places both added 53,000 while government employment grew by 45,000. Construction added 42,000, professional and technical services contributed 32,000 and finance rose by 26,000.
