Job growth slows down in March

Posted April 08, 2018

However, wage growth picked up in March.

"The strong job market does appear to be drawing back some people who have been out of the labor force for a significant time", Federal Reserve Chairman Jerome Powell said Friday.

Still, through the first three months of the year, employers have added an average of 202,000 workers to payrolls, outpacing 2017's average monthly growth of 182,000. Job growth is also moderating as the labor market hits full employment. Average hourly earnings rose eight cents or 0.3 per cent last month after edging up 0.1 per cent in February. The number of jobs increased by 326,000 in February, 13,000 more than previously reported.

The March jobs report was a disappointment as just 103,000 jobs were created, fewer than expected by economists.

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Wage gains went up only slightly last month even though businesses are finding it increasingly harder to attract qualified workers and more people are leaving their jobs voluntarily. There has been an increase in reports of employers, especially in the construction and manufacturing sectors, struggling to find qualified workers.

The unemployment rate held steady at 4.1 per cent for a sixth straight month.

"Across the board, hiring is a challenge", Daniel said.

Job creation since then has been in line with analysts' expectations, with the latest gains driven mostly by the hiring of full-time staff.

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The company now offers a 401 (k) to all employees and provides a prescription drug discount card. Employment in both retail trade and construction declined over the month by 4,000 and 15,000 jobs, respectively, which could be related to March's bad weather. Professional and business services, which includes fields such as accounting and architecture, gained 33,000 positions. Other factors are going to boost the economy as well and the fact that the U.S. economy grew at a faster pace in the last quarter of 2017 is proof that it is also going to do well in the years to come.

Rather, there has been gradual improvement underway for many years that continues apace.

For example, a rising number of working-age Americans have begun looking for a job and finding one, reversing a trend from the first few years after the recession when numerous unemployed grew discouraged and stopped looking for work. Macroeconomic Advisers, a consulting firm, forecasts the economy grew at just a 1.4 percent annual rate in the January-March quarter - less than half the 2.9 percent annual pace of the October-December quarter. Americans with some college education saw the biggest change in their unemployment rate: That group experienced an unemployment rate drop of 3.8 percentage points over the 14-month period.

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