Please ensure Javascript is enabled for purposes of website accessibility
Unemployment Hits 49-Year Low as US Employers Step up Hiring
gvw_ap_news
By Associated Press
Published 5 years ago on
May 3, 2019

Share

WASHINGTON — U.S. employers added a robust 263,000 jobs in April, suggesting that businesses have shrugged off earlier concerns that the economy might slow this year and now anticipate strong customer demand.

The unemployment rate fell to a five-decade low of 3.6% from 3.8%, though that drop partly reflected an increase in the number of Americans who stopped looking for work. Average hourly pay rose 3.2% from 12 months earlier, a healthy increase though unchanged from the previous month.

The unemployment rate fell to a five-decade low of 3.6% from 3.8%, though that drop partly reflected an increase in the number of Americans who stopped looking for work. Average hourly pay rose 3.2% from 12 months earlier, a healthy increase though unchanged from the previous month.

Friday’s jobs report from the Labor Department showed that solid economic growth is still encouraging strong hiring nearly a decade into the economy’s recovery from the Great Recession. The economic expansion is set to become the longest in history in July.

Many businesses say they’re struggling to find workers, yet each month they seem to add a substantial number. Some have taken a range of steps to fill jobs, including training more entry-level workers, loosening educational requirements and raising pay sharply.

Years of steady hiring have sharply lowered unemployment for a range of population groups. The unemployment rate for women fell last month to 3.1%, the lowest point since 1953. The rate for Latinos dropped to 4.2%, a record low since 1973, when the government began tracking the data.

Sharp Improvement From the Start of the Year

For Asians, joblessness has matched a record low of 2.2%. And the unemployment rate for veterans of the Iraq and Afghan wars dropped to 1.7%, also a record low.

Most of last month’s job growth occurred in services, which includes both higher-paying jobs in information technology and lower-paying temporary work. Manufacturers added just 4,000 jobs. Construction firms gained 33,000, mostly on public infrastructure projects.

Professional and business services, which include IT networking jobs as well as accountants and engineers, led the gains with 76,000. Education and health care added 62,000 jobs, while a category that mostly includes restaurants and hotels gained 34,000.

The brightening picture represents a sharp improvement from the start of the year. At the time, the government was enduring a partial shutdown, the stock market had plunged, trade tensions between the United States and China were flaring and the Federal Reserve had just raised short-term interest rates in December for a fourth time in 2018. Analysts worried that the economy might barely expand in the first three months of the year.

Yet the outlook soon brightened. Chair Jerome Powell signaled that the Fed would put rate hikes on hold. Trade negotiations between the U.S. and China made some progress. The economic outlook in some other major economies improved. Share prices rebounded.

American Households Have Become More Confident

And in the end, the government reported that the U.S. economy grew at a 3.2% annual rate in the January-March period — the strongest pace for a first quarter since 2015. That said, the growth was led mostly by factors that could prove temporary — a restocking of inventories in warehouses and on store shelves and a narrowing of the U.S. trade deficit. By contrast, consumer spending and business investment, which more closely reflect the economy’s underlying strength, were relatively weak.

Consumer spending surged in March by the most in nearly a decade. A likely factor is that steady job growth and solid wage increases have enlarged Americans’ paychecks.

But American households have become more confident since the winter and are ramping up spending. Consumer spending surged in March by the most in nearly a decade. A likely factor is that steady job growth and solid wage increases have enlarged Americans’ paychecks.

Businesses are also spending more freely. Orders to U.S. factories for long-lasting capital goods jumped in March by the most in eight months. That suggested that companies were buying more computers, machinery and other equipment to keep up with growing customer demand.

Housing, too, is rebounding after home sales had slumped in the second half of last year. Mortgage rates rose to nearly 5% last fall as the Fed raised interest rates. With the Fed now putting rate hikes on hold, borrowing costs have declined.

In February, sales of existing homes jumped by the most in three years. And in March, more Americans signed contracts to buy a house. Contract signings usually lead to finished sales one to two months later.

DON'T MISS

Boeing’s Financial Woes Continue, While Families of Crash Victims Urge US to Prosecute

DON'T MISS

Police Tangle With Students in Texas and California as Wave of Campus Protest Against Gaza War Grows

DON'T MISS

Meet the Valley Republican Predicting a November Win Over Esmeralda Soria

DON'T MISS

Wired Wednesday: Construction Workers on 2018 Fresno Unified Project Still Not Paid

DON'T MISS

Slumping California Risks Losing World’s ‘5th Largest Economy’ Title

DON'T MISS

Ukraine Uses Long-Range Missiles Secretly Provided by US to Hit Russian-Held Areas, Officials Say

DON'T MISS

Upward Bound: Edison High’s Garcia Headed to Johns Hopkins

DON'T MISS

Boxing Star Ryan Garcia Wants to Meet Netanyahu, Pledges Aid for Gaza Children

DON'T MISS

Fong Won’t Debate Boudreaux, but We Get Hot Topic Answers Anyway

DON'T MISS

Legislation Pandering to Tribal Casinos Is a Bad Bet for Fresno Cardroom Employees

UP NEXT

Ancestry Website to Catalogue Names of Japanese Americans Incarcerated During World War II

UP NEXT

Google Fires More Workers Who Protested Its Deal With Israel

UP NEXT

What Do Supreme Court Justices Say About Homelessness?

UP NEXT

Oprah Winfrey and Dwayne Johnson Pledged $10M for Maui Wildfire Survivors. They Gave Much More.

UP NEXT

15 People Injured When Tram Collides With Guardrail at Universal Studios Theme Park

UP NEXT

The Pickle Flavor Frenzy and Its Rise in Food Trends

UP NEXT

Long-Lost First Model of USS Enterprise from ‘Star Trek’ Boldly Goes Home

UP NEXT

Man Sets Himself on Fire Outside Trump Hush Money Trial Court

UP NEXT

Rare House Vote Sees Ukraine, Israel Aid Advance as Democrats Join Republicans

UP NEXT

Full Jury and 6 Alternates Seated in Trump’s Hush Money Trial

Wired Wednesday: Construction Workers on 2018 Fresno Unified Project Still Not Paid

11 hours ago

Slumping California Risks Losing World’s ‘5th Largest Economy’ Title

11 hours ago

Ukraine Uses Long-Range Missiles Secretly Provided by US to Hit Russian-Held Areas, Officials Say

13 hours ago

Upward Bound: Edison High’s Garcia Headed to Johns Hopkins

Local Education /

14 hours ago

Boxing Star Ryan Garcia Wants to Meet Netanyahu, Pledges Aid for Gaza Children

15 hours ago

Fong Won’t Debate Boudreaux, but We Get Hot Topic Answers Anyway

15 hours ago

Legislation Pandering to Tribal Casinos Is a Bad Bet for Fresno Cardroom Employees

16 hours ago

About 1 in 4 US Adults Over 50 Say They Expect to Never Retire, an AARP Study Finds

16 hours ago

Biden Signs a $95 Billion War Aid Measure With Assistance for Ukraine, Israel and Taiwan

17 hours ago

Ancestry Website to Catalogue Names of Japanese Americans Incarcerated During World War II

17 hours ago

Boeing’s Financial Woes Continue, While Families of Crash Victims Urge US to Prosecute

Boeing said Wednesday that it lost $355 million on falling revenue in the first quarter, another sign of the crisis gripping the aircraft ma...

10 hours ago

10 hours ago

Boeing’s Financial Woes Continue, While Families of Crash Victims Urge US to Prosecute

10 hours ago

Police Tangle With Students in Texas and California as Wave of Campus Protest Against Gaza War Grows

CA District 27 Assembly candidate Joanna Garcia Rose
10 hours ago

Meet the Valley Republican Predicting a November Win Over Esmeralda Soria

11 hours ago

Wired Wednesday: Construction Workers on 2018 Fresno Unified Project Still Not Paid

11 hours ago

Slumping California Risks Losing World’s ‘5th Largest Economy’ Title

13 hours ago

Ukraine Uses Long-Range Missiles Secretly Provided by US to Hit Russian-Held Areas, Officials Say

Local Education /
14 hours ago

Upward Bound: Edison High’s Garcia Headed to Johns Hopkins

15 hours ago

Boxing Star Ryan Garcia Wants to Meet Netanyahu, Pledges Aid for Gaza Children

MENU

CONNECT WITH US

Search

Send this to a friend