It has been announced that more jobs that expected were added to the US economy during the month of July, according to a report released by the Department of Labor. In the main, IT played a vital role in helping to push numbers up as the sector continued to grow as it has done throughout the Great Recession, which started five years ago.
The report showed that within the private sector there were 172,000 workers added in July, which represents a large bounce after what has been described as a number of months of ‘meager’ job gains. Within local, state and federal governments, jobs were lost with the total numbers showing that there were 9,000 fewer positions; however, overall, the net number of workers added to the payrolls across the nation rose by an impressive 163,000.
Economists believe that, given the current number of people living in the US alongside the current growth rate, they expect to see the US economy add around 200,000 jobs per month simply to absorb new workers who are entering the workforce.
The knock-on effect of all this news is that the number of people who are regarded as unemployed fell to 12.8 million, which means that within three to four years the unemployment level should drop down to the level of unemployment as it stood before the Great Recession set in. Unemployment was at 5% in December 2007 when the Great Recession is officially claimed to have begun, equating to 7.6 million people who were out of work and looking for employment.