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US temp jobs rise by 14,300, unemployment rate drops

December 02, 2016

Temporary help jobs rose by 14,300 in November from the previous month, up from 7,300 added in October, according to seasonally adjusted numbers released today by the US Bureau of Labor Statistics. The year-over-year growth rate increased to 1.92% in November from 1.46% in October.

The number of temporary jobs gained in October was also revised upwards by 900.

“November was a solid month for temporary help employment growth, which was up both on a sequential and year-over-year basis, boosting the penetration rate near the all-time high set last December,” said Andrew Braswell CCWP, senior research analyst at Staffing Industry Analysts.

November’s temporary penetration rate — temporary help services jobs as a percent of total employment — edged up to 2.050% in November from 2.043% in October.

Total nonfarm jobs rose by 178,000 on a seasonally adjusted basis, up from the gain of 142,000 in October. October’s gain was revised down from a prior figure of 161,000. The unemployment rate fell to 4.6% from 4.9% in October. The college-level unemployment rate — which can serve as a proxy for professional employment — fell to 2.3% from 2.6% in October.

Total nonfarm jobs figures are consistent with a general slowdown in employment growth since early 2016 relative to 2015, The Conference Board said in a statement.

“This decline may be temporary as it reflects both continued employment growth and what may be a temporary interruption in labor force participation growth,” The Conference Board stated. “It could also reflect the difficulty many workers who lost their jobs during the Great Recession still experience in rejoining the labor force, as the demand for jobs may not match the skills outstanding potential workers have to offer.”

Bloomberg reports the total nonfarm jobs increase fell short of the median forecast in its survey of economists, which called for an increase of 180,000. A steady job market signals employers were willing to keep hiring in the days before and after the Nov. 8 presidential election. At the same time, while the Federal Reserve is almost certain to raise borrowing costs this month, sustained weakness in wages or participation would weigh on the economic outlook.

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