U.S. Labor Market Shows Stronger Job Growth in October

The U.S. economy added 165,000 nonfarm payroll jobs in October, exceeding the average monthly gain of 48,000 over the previous 12 months, the U.S. Bureau of Labor Statistics reports. The unemployment rate remained relatively stable at 4.1%, with approximately 7.1 million people unemployed. Job growth was strongest in professional and business services (+70,000), health care (+42,000), and transportation and warehousing (+25,000). Manufacturing also added 19,000 jobs, continuing its recent recovery.

Despite employment growth, some labor market indicators showed signs of weakness. The number of people working part-time for economic reasons increased by 339,000 to 4.8 million, while labor force participation remained unchanged at 61.9%. Average hourly earnings increased 0.4% to $38.00, representing a 3.1% increase over the past year. The average workweek remained steady at 34.4 hours.

Additionally, employment figures for August and September were revised upward by a combined 84,000 jobs, indicating stronger hiring than initially reported. Overall, October’s report reflects continued job growth and relatively stable unemployment, although increased involuntary part-time employment suggests some underlying softness in the labor market.