Despite GM Strike, Jobs Numbers Remain Very Strong

Posted by Olivia Grady on Friday, November 1st, 2019 at 3:20 pm - Permalink

October unfortunately presented challenges for the American economy. The United Automobile Workers union, for example, organized a month-long strike against General Motors with almost 50,000 workers in order to divert attention from their corruption scandal. This certainly impacted the jobs report.

However, thanks to tax reform and deregulation by the Trump Administration and U.S. House and Senate Republicans, Americans today can still celebrate another strong jobs report.

The Bureau of Labor Statistics reported today that nonfarm payroll employment rose by 128,000 last month, beating expectations. Further, last month’s unemployment rate of 3.6% made October the 20th consecutive month with an unemployment rate at or below 4%. The labor force participation rate also increased to 63.3%.

In addition, average hourly earnings rose by 6 cents to $28.18. Over the past year, average hourly earnings have increased by 3%. 

The unemployment numbers for all Americans, including women, minorities, and others, remain low as well. In fact, another record was broken this past month when the unemployment rate for African Americans fell to 5.4%.

The jobs numbers for August and September were also increased. In August, employers added 51,000 more jobs than initially reported, and September numbers were revised up by 44,000. That is 95,000 more jobs than previously reported.

In total, over 300,000 jobs were created with the upward revision of the August and September numbers and the decrease of jobs due to the GM strike. As a result of months of strong job growth, over 6.7 million jobs have been added to the economy since President Donald Trump’s 2016 election.

Further, the Council of Economic Advisers reported:

“With consistent job gains this far into the longest economic recovery in U.S. history, the October employment data make it clear that the American labor market remains strong. States across the country continue setting record-low unemployment rates, showing how Federal policies that support economic growth benefit local communities. American workers see these benefits as today’s labor market offers them opportunities to negotiate raises and advance their careers.”  

Department of Labor Secretary Eugene Scalia also confirmed the strength of the jobs market and stressed the need for the U.S.-Mexico-Canada Agreement (USMCA) in his statement:

"Today's jobs numbers were affected by a disruption in the auto industry. The importance of the auto industry to the U.S. economy is a reminder of the need to implement the U.S.-Mexico-Canada Agreement (USMCA).  USMCA will add tens of thousands of American jobs and will greatly strengthen our economy and America's workforce."

Americans for Tax Reform and the Center for Worker Freedom agree with Secretary Scalia on the need for USMCA and thank the Administration for strongly supporting American workers.