Unemployment Rose to 3.8% and 187,000 Jobs Were Added in August
Summary from AllSides News Team
The unemployment rate rose to 3.8%, up from 3.5% in July, and job gains eased slightly in August, adding 187,000 jobs, the Bureau of Labor Statistics reported.
Key Details: Social assistance, leisure and hospitality, healthcare and construction establishments increased their hiring, while warehousing and transportation employers cut staff. This reflected the impact of the shutdown of trucking company Yellow Corporation.
Key Quote: “The labor market is back to its normal pre-pandemic climate,” said Julia Pollak, chief economist at ZipRecruiter. “The question going forward is whether this will be the sustainable long-term condition of the labor market or whether we will cross below the pre-pandemic level to something slower and cooler.”
For Context: On August 25th, Federal Reserve Chairman Jerome Powell pushed for interest rates to remain steady for now, but stated he would be open to raising them later in 2023 if inflation does not continue to decline. Meanwhile, the Wall Street Journal (Center bias) reported last month that "wages have outpaced inflation in recent months."
How the Media Covered it: Sources on the right and left noted that hiring had eased over the summer, but also noted that the prior several months had seen higher than expected job numbers.
Featured Coverage of this Story
From the RightUnemployment Jumps to 3.8% in August, 187,000 Jobs Added
Employers in the United States added 187,000 workers to their payrolls in August, the Department of Labor said Friday.
The unemployment rate jumped to 3.8 percent.
In the preliminary report for July, the Labor Department said that the economy added 187,000 jobs and the unemployment rate fell to 3.5 percent. On Friday, the government revised this down to show the economy added just 157,000. The June report was revised down by 80,000 to 105,000. Over the prior 12 months, employment has grown an average of 271,000 per month.
From the CenterJob Gains Eased in Summer Months, Unemployment Increased in August
Hiring cooled this summer and unemployment rose in August, signs the labor market is moderating in the face of high interest rates.
U.S. employers added 187,000 jobs last month, while payrolls in June and July were revised down a combined 110,000, the Labor Department said Friday. The monthly gain in August was well less than the average pace over the prior year, and far below the roughly 400,000 average monthly gain in 2022.
Total nonfarm payrolls, change from a month earlierSource: Labor DepartmentNote: Seasonally adjusted
The unemployment rate was 3.8% last month, up from 3.5%...
From the LeftEmployers added 187,000 jobs in August, showing strong but slower growth
Employers added 187,000 jobs in August, signaling that the market has returned to pre-pandemic levels of job gains after months of cooling, though it remains in a remarkably healthy place.
The unemployment rate ticked up to 3.8 percent, according to the Bureau of Labor Statistics, as some workers were laid off and thousands more joined the labor force for the first time.v
The August jobs report caps 32 months of gains, scoring a political victory for President Biden, who has endeavored to build a pro-worker administration as he gears up for...