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Unemployment rate falls as private hiring increases

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The U.S. unemployment rate fell to 8.9 percent in February as employers added 192,000 workers, Bloomberg reported.

Hiring in manufacturing, construction and temporary help agencies was up as state and local governments cut positions.

“The economy has been clawing its way back up the side of the mountain for the better part of a year, and these numbers are consistent with that,” said Paul O’Neill, a special advisor to the Blackstone Group LP and a former Treasury Secretary. “Where we are is the process of natural healing of our economy.”

The jobless rate was expected to rise to 9.1 percent, according to the median of economists surveyed by Bloomberg. Their estimates ranged from 8.9 percent to 9.4 percent.

The size of the labor force increased by 60,000 in February from the prior month, as service providers added 122,000 positions, construction payrolls were up by 33,000, and transportation and warehousing jobs increased by 22,000.

Employment in retail fell by 8,100. State and local governments cut 30,000 jobs. Federal government employment was unchanged.

The 8.9 percent unemployment rate is the lowest level recorded since April 2009.

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