Unemployment still 4.9% as U.S. adds 255K jobs
WASHINGTON — U.S. employers added a healthy 255,000 jobs in July, a sign of confidence amid sluggish economic growth that points to a resilient economy.
At the same time, the unemployment rate remained a low 4.9 percent, the Labor Department said today in its monthly jobs report. More Americans launched job searches, and nearly all were hired. But the influx of job seekers meant that the number of unemployed fell only slightly.
The figures suggest that U.S. employers shook off concerns about Britain’s late-June vote to quit the European Union. Nor were they apparently discouraged by the economy’s tepid growth in the first half of the year: Just 1 percent at an annual rate. The solid hiring could fuel a rebound by the economy in the second half of this year, with more paychecks and higher pay fueling more spending.
Average hourly pay picked up in July and is 2.6 percent higher than it was a year ago, matching the fastest pace since the recession. With the unemployment rate low, that suggests that employers are being forced to compete with one another for new hires by offering higher pay.
Solid hiring occurred last month across a range of industries, including middle- and high-wage jobs, one factor that likely boosted average pay. Professional and business services added 70,000 jobs, the most since October.
