As reported by the US Labour Department, employers across the US created about 5,31,000 jobs in October, and caused the unemployment rate to dip to 4.6 per cent. Clearly, the fear of the Delta wave has subsided slightly. The trends are definitely positive and optimistic, not just in terms of unemployment rates but also in terms of pay. Looks like the US economy is on the road to recovery.
Job gains crossed a million in July. Also, job gains were upwardly revised in September and August, to 3,12,000 and 4,83,000 respectively. That was when the fear of the Delta variant of the coronavirus had caused recovery of the labour market to slow down.
However, in October, a noticeable number of jobs were added in the hospitality space, as well as in the professional and business services, manufacturing, transportation and warehousing sectors. Loss was only reported in government jobs, and that too, primarily in the education sector.
After reporting the highest ever rates of unemployment in April 2021, there was a significant drop in October. However, at 4.6 per cent, it still remains above the pre-pandemic level of 3.5 per cent.
Due to healthy spending by consumers now, organisations are being encouraged to hire more workers across industries.
Although the effects of the pandemic have not vanished, and there still exist shortages in supply, more and more vacancies are getting filled. Businesses and companies in the retail, banking, and warehousing sectors have witnessed a surge in sales.