Friday, October 7, 2011

US economy adds 103,000 new jobs

The US economy added 103,000 jobs in September, ahead of many economists' expectations.

But the jobless rate was stuck at 9.1%, according to latest data from the Department of Labor.

Although the figures were boosted by the return to work of striking workers, the department also revised upwards employment data from August and July.

Last month, President Barack Obama unveiled a $450bn (£282bn) package of spending plans aimed at creating jobs.

The White House said that despite the new jobs, the unemployment rate remained "unacceptably high".

"Clearly, we need faster economic growth to put Americans back to work. Today's report underscores the president's call for Congress to pass the American Jobs Act to put more money in the pockets of working and middle class families," it said in its regular blog.

The private sector accounted for all the job gains, and the figures were boosted by the return of 45,000 Verizon telecoms workers who had been on strike in August.

Previously, data for August had showed the economy added no new jobs, underlying fears that the US was heading back towards recession.

But the revised August figures show a gain of 57,000 jobs. July was revised up to a gain of 127,000 jobs, from 85,000.

Mr Obama's jobs programme proposes funding huge construction projects, schools and services, while giving tax cuts to workers and small businesses to boost recruitment.