January Employment Spikes, Unemployment Rate Down

Payroll employment grew by over 500,000 in January of 2023, but it was not enough to change the nation's unemployment rate of 3.4%, according to the latest figures from the U.S. Bureau of Labor Statistics.

There was a "widespread" growth in jobs throughout January, including gains in the leisure and hospitality, professional and business services, and healthcare fields, the report states. The 517,000 non-farm payroll jobs increase was higher in January 2023 than the monthly average of 401,000 in 2022. The leisure and hospitality sector saw the highest spike in employment, with an increase of 128,000 jobs in January, 39,000 more than the monthly average in 2022.

The labor report also shows the average hourly earnings for all employees on private payrolls rose by $0.10 to $33.03 nationally. Over the past 12 months, the average hourly earnings have increased by 4.4%.