The U.S. economy created 916,000 jobs in March, a seven-month high that indicates a rapid labor market recovery in the coming months due to the easing of vaccinations and restrictions.
This number is much higher than last August, when analysts expected 627,000 new employees.
In March, jobs in the leisure, hotel and restaurant sectors, which have been hit hardest by the epidemic, increased employment (+280,000), the Labor Department said in a statement.
The construction sector, which was hit by bad weather in February, added 110,000 new jobs and the manufacturing industry 53,000.
Data for March was collected earlier this month, before most states expanded access to the Govt-19 vaccine and before most Americans began receiving $ 1,400 in checks from the government. The federal government is part of the latest $ 1.9 billion aid program. In other words, job growth is expected to be even faster in April. In March, the unemployment rate was down 0.2 percentage points to 6%.
This is certainly “significantly lower than the peak reached in April 2020 (almost 15%), but it is 2.5 percentage points higher than it was before the outbreak in February 2020,” the ministry underlined. The labor market will need several months of strong growth to reach its pre-epidemic level.
The fall in the unemployment rate should be explained with caution because this rate does not take into account the millions of people who have left the labor market, especially since schools have been closed for so long.
The greatest risk to the US economy remains epidemic. Corona virus cases are on the rise again in one part of the country as many states have relaxed restrictions.
The country still records an average of 62,000 Govt-19 cases a day, but the vaccination campaign is in full swing: more than 2.5 million vaccines are vaccinated daily. In a few days, even the three million mark has been breached.