The U.S. jobs market continues to cool. Total nonfarm payroll employment in the U.S. increased by 187,000 in August, well below the average monthly gain of 271,000 over the prior 12 months, the U.S. Bureau of Labor Statistics reports.
In addition, the unemployment rate rose to 3.8 percent, up from 0.3 percentage point to 3.8 percent in August, and the number of unemployed persons increased by 514,000 to 6.4 million. Both measures are little different from a year earlier, when the unemployment rate was 3.7 percent and the number of unemployed persons was 6.0 million.
Employment continued to trend up in health care, leisure and hospitality, social assistance and construction, while employment in transportation and warehousing declined. Retail trade and wholesale trade were among the major industries showing little change over the month.
The bureau’s latest statistics also showed the labor force participation rate rose to 62.8 percent in August, the highest it’s been since the onset of the pandemic.
“If sustained, this increase in the labor force could help cool off wage growth and slow inflation,” said Gus Faucher, PNC Financial Services’ Chief Economist, in CNN Business’ coverage of the jobs news and its impact on Wall Street.
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