Total nonfarm payroll rose in October by only 12,000, according to the U.S. Bureau of Labor Statistics — though economists largely counseled caution against any panic regarding the numbers, as a slew of temporary disruptions shook up the job market.
Hurricanes Helene and Milton impacted “potentially tens of thousands of jobs,” one Indeed economist said, while workers in another 44,000 roles were on strike during the month.
However, the two previous months were also revised down by a total of 112,000 jobs, speaking to an ongoing slowdown in the general market. “The large decline in temp hiring also foreshadows further cooling,” Julia Pollak, chief economist for ZipRecruiter, said in a statement.
Blue-collar jobs may continue to see slow downs, Rajesh Namboothiry, head of Manpower U.S., said in a statement; “With manual oriented functions such as construction and maintenance seeing less demand from 2023 levels, the blue-collar sector is facing significant challenges that could impact job stability and growth in the near future.”
Generally, the market is still angled for a “soft landing,” economists said. The unemployment rate remained at 4.1%.
“Businesses continue to be cautious about expanding their workforce, likely due to economic uncertainties or cost-control measures,” Ger Doyle, head of Experis North America, said in a statement. “However, we’re still seeing growth above 2023 levels which provides moderate optimism for the market as economic conditions stabilize.”
Notably, holiday hiring remains on track, Pollak said, which speaks to ongoing stability in other sectors. The real reveal of the state of the economy will be seen in the revisions on this report next month, economists said.
