US adds just 39k new jobs in Nov; jobless rate jumps to 9.8%

Updated on: Tuesday, December 07, 2010

In fresh signs of sluggish labour market, the US economy generated fewer than expected new jobs in November at 39,000 while the jobless rate surged to 9.8 per cent last month.
Official data released today comes as a disappointment since analysts were expecting the American economy to create about 155,000 jobs in November.

The unemployment rate climbed to 9.8 per cent last month as compared to 9.6 per cent in the previous three months.

"The unemployment rate edged up to 9.8 per cent in November, and non-farm payroll employment was little changed (+39,000)... Temporary help services and health care continued to add jobs over the month, while employment fell in retail trade," US Bureau of Labor Statistics said.

A staggering 15.1 million Americans were without a job last month.

Keith Hall Commissioner Bureau of Labor Statistics' Commissioner Keith Hall said that so far this year, the health care industry has added an average 21,000 jobs every month.

"Retail trade employment decreased by 28,000 in November, including declines in department stores (-9,000) and in furniture and home furnishings stores (-5,000)," Hall noted.

Going by the data, the jobless rate for adult men and women stood at 10 per cent and 8.4 per cent, respectively.

Among the unemployed, the count of job losers and people who completed temporary jobs rose by 390,000 to 9.5 million in November.

The rise in unemployment rate comes against the backdrop of the US economic expansion slowly picking up. The world's largest economy grew 2.5 per cent in the September quarter.

Moreover, the US Federal Reserve last month announced a USD 600-billion stimulus measure, that would utilised to purchase government securities.

US adds just 39k new jobs in Nov; jobless rate jumps to 9.8%

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