The unemployment rate rose to 3.7 percent last month as job growth slowed, according to federal officials.
The unemployment rate rose to 3.7% last month as job growth slowed, according to federal officials.
“The jobs numbers show a slowdown from the unexpected hiring surge in July but still paint a picture of an economy creating jobs at a healthy clip,” said Christopher Geehern, executive vice president of Associated Industries of Massachusetts. “The numbers are consistent with our view that the state and national economies are growing at a sluggish pace and not yet in recession.”
Although U.S. real gross domestic product declined at an average annual rate of 1.1% in the first two quarters of 2022, Geehern noted, real gross domestic income increased at an average pace of 1.6%.
Weak labor force participation, however, is a constraint on growth that is fueling wage and price inflation, he said.
As the Federal Reserve aims to bring inflation back to 2% on a sustained basis, he said, tightening financial conditions will be a headwind to business growth in the year ahead.
