Payrolls in the United States increased more than forecast in February and the jobless rate unexpectedly fell to a four-year low of 7.7%, a sign U.S. employers were undaunted by the budget impasse in Washington.
Employment rose 236,000 last month after a revised 119,000 gain in January that was smaller than first estimated, U.S. Labor Department figures showed today in Washington. The median forecast of 90 economists surveyed by Bloomberg projected an advance of 165,000. The jobless rate, the lowest since December 2008, dropped from 7.9%. Hiring in construction jumped by the most in almost six years.
Employers also boosted hours worked, and pay picked up for American workers. Average hourly earnings rose 0.2% to $23.82 U.S. in February. The average work week for all employees increased six minutes to 34.5 hours.
Payroll projections ranged from gains of 121,000 to 260,000 following an initially reported 157,000 increase in January, according to the Bloomberg survey. Revisions subtracted a total of 15,000 jobs to the employment count in December and January.
Private payrolls, which don’t include jobs at government agencies, rose by 246,000 in February after a revised gain of 140,000 the previous month. Economists forecast they would grow 170,000 following an initially reported 166,000 gain in January.
The unemployment rate, derived from a separate survey of households, was forecast to hold at 7.9%, according to the Bloomberg survey median. The decline reflected both a gain in employment and an increase in people leaving the labour force.
Related Stories
