Friday, December 7, 2012
WASHINGTON (AP) — The U.S. economy added 146,000 jobs in November and the unemployment rate fell to 7.7 percent, the lowest since December 2008. The government said Superstorm Sandy had only a minimal effect on the figures.
The Labor Department’s report today offered a mixed picture of the economy.
Hiring remained steady during the storm and in the face of looming tax increases. But the government said employers added 49,000 fewer jobs in October and September than it initially estimated.
And the unemployment rate fell to a four-year low in November from 7.9 percent in October mostly because more people stopped looking for work and weren’t counted as unemployed.
The report “is something of a mixed bag but, on balance, it’s a positive,” said Paul Ashworth, an economist at Capital Economics.
Sandy’s effect on the figures was much smaller than many analysts had predicted. The government noted that as long as employees worked at least one day during a pay period — two weeks for most people — its survey would have counted them as employed.
Still, there were signs that the storm disrupted economic activity. Construction employment dropped 20,000. And weather prevented 369,000 people from getting to work — the most for any month in nearly two years. These workers were still counted as employed.
Since July, the economy has added an average of 158,000 jobs a month. That’s a modest pickup from 146,000 average in the first six months of the year.
The job growth suggests that most employers aren’t yet delaying hiring because of the “fiscal cliff.” That’s the combination of sharp tax increases and spending cuts set to take effect next year unless the White House and Congress reach a budget deal before then.