US job growth rose in July, according to official data on Friday, as the economy grew by an astonishing 528,000 positions, defying all hopes of a recession.
Even the White House agreed with most economists that growth would slow to just 250,000 a month after President Joe Biden said the pandemic slowdown could accelerate the collapse of the world’s largest economy. The rebound was followed by its share of natural downturns.
Meanwhile, wages jumped — average hourly earnings rose 15 cents compared to June — which will certainly raise inflation concerns, as the Federal Reserve slashed the economy amid the highest price gains in more than 40 years. to aggressively raise interest rates.
The Labor Department reported that sweeping job gains helped bring the unemployment rate back to a pre-pandemic low of 3.5 percent. And outsized job gains were revised higher in June.
The data showed that total non-farm employment has also reached its pre-pandemic level.
Hiring was strong in leisure and hospitality and health care, which each added 96,000 or more, while manufacturing and construction grew by 32,000 or more.
The report said builders have struggled for months to find workers to meet the high demand for construction, but employment in the sector is now back to its pre-pandemic levels.