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US temp jobs rise by 14,800, overall job growth exceeds forecast

February 03, 2017

Temporary help jobs rose by 14,800 in January from December, according to seasonally adjusted numbers released today by the US Bureau of Labor Statistics. The year-over-year growth rate jumped to 3.26% in January from 1.23% in December.

January’s job numbers reflect the annual revisions the BLS makes to the numbers.

The temporary penetration rate of 2.05% in January matched the newly revised all-time high. The penetration refers to temporary help services jobs as a percent of total employment.

“This was an encouraging start to the year for temporary help job gains, particularly following the employment decline the industry saw in December,” said Andrew Braswell CCWP, senior research analyst at Staffing Industry Analysts. On a year-over-year basis, the industry's growth rate is the highest since December 2015.”

Total nonfarm jobs rose by 227,000 on a seasonally adjusted basis, up from the gain of 157,000 in December.

The unemployment rate edged up to 4.8% in January from 4.7% in December. The college-level unemployment rate — which can serve as a proxy for professional employment — was 2.5% in January, unchanged from December.

“Business optimism no longer appears just in confidence surveys,” The Conference Board stated. “It seems like we are getting confirmation from hard data. We have seen some improvement in business investment in recent months, and now stronger job growth.”

The tighter labor market with the prospects of better job opportunities is luring more workers back into the labor force, according to The Conference Board.

Bloomberg reports the total nonfarm jobs increase exceeded the median forecast in its survey of economists, which called for an increase of 180,000. The data, representing the final figures under President Barack Obama, indicate the job market is still enjoying steady growth though isn’t tight enough yet to result in a bonanza for worker pay.

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