The U.S. labor market shocked to the upside but once more in February, powered by continued energy within the service sectors of the financial system.
The leisure and hospitality sector added 105,000 jobs final month, in response to the Labor Division, accounting for roughly a 3rd of the entire 311,000 jobs acquire.
The well being care and social help phase was one other massive contributor, including practically 63,000 jobs.
Leisure and hospitality has been persistently one of many strongest sectors because the U.S. financial system has recovered from the height of the Covid-19 pandemic, which noticed bars and eating places shut in massive numbers throughout the nation. Food and drinks companies accounted for 70,000 job beneficial properties final month.
Nonetheless, the sector continues to be 2.4% beneath its pre-pandemic employment degree, in response to the Labor Division.
“We’re nonetheless quick,” stated Steve Rick, chief economist for CUNA Mutual Group. “We nonetheless do not have the identical quantity of individuals working at inns and eating places as we did in 2019. In order that’s why we’re nonetheless including jobs at a reasonably feverish tempo in these areas.”
Nonetheless, there are some weaknesses in different elements of the financial system. The 25,000-job decline in info expertise exhibits the impression of layoffs at tech firms, whereas transportation and manufacturing jobs additionally retreated.
Transportation and warehousing jobs at the moment are down 42,000 since October, in response to the Labor Division.
“We’re seeing a bifurcation of the financial system between the products and companies sector,” Rick stated.