Unemployment rate decreases in JanuaryThe U.S. unemployment rate fell from 9.4 percent in December 2010 to 9 percent in January, according to The Washington Post. However, employers added only 36,000 jobs.
The significant drop in the unemployment rate can be attributed to the fact that the number of unemployed people fell by 600,000 in January to 13.9 million; however, part of that drop could be attributed to jobless individuals who have stopped searching for employment. Additionally, job creation was sluggish and likely was affected by severe winter weather.
In January, the manufacturing sector added 49,000 jobs; retail sector added 28,000 jobs; and health care sector gained 11,000 jobs. The construction sector cut 32,000 jobs, and transportation and warehousing fell by 38,000.
Revised employment data show that fewer jobs were created in 2010 than previously thought. Instead of a previous estimate of 1.1 million new jobs, about 950,000 new jobs were added in 2010.
During the past three months, the economy generated an average 83,000 net jobs per month, which is not enough to keep up with population growth.
Date : 2/4/2011