Sept. 1 (UPI) — The United States added 187,000 jobs in August, however, the unemployment rate unexpectedly dropped, the Labor Department reported Friday.
The data from the Bureau of Labor Statistics showed that the August additions to nonfarm payrolls were lower than the average monthly gain of 271,000 over the past year while the jobless rate climbed to 3.8%.
President Joe Biden is set to discuss the jobs report after hailing that in the two and a half years since he took office the nation had added 13.4 million jobs as of last month, which the White House said was more than any other president had added in a four-year term.
In August health care added 71,000 jobs, leisure and hospitality over 40,000, nursing and residential care facilities 17,000 and hospitals added 15,000 jobs. Construction added 22,000 jobs.
On the minus side, transportation and warehousing lost 34,000 jobs in August. Couriers and messengers lost 9,000 jobs.
The Labor Department said due to strike activity motion picture and sound recording jobs dropped by 17,000.
The jump in unemployment came as 514,000 Americans lost their jobs in August, bringing the total of unemployed people to 6.4 million. It could be a sign that the job market is weakening amid high interest rates imposed to fight inflation.
Thursday’s data came a day after private payroll processor ADP’s monthly report showed the private sector added 177,000 jobs in August. That was sharply lower than ADP’s figure of 324,000 jobs added in July, suggesting hiring may be starting to plateau.
A year ago at this time, 6 million people were jobless and the unemployment rate was 3.7%.
