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The unemployment rate in the United States fell to 3.8 percent in February, while the economy generated 678,000 new jobs, the highest level since summer 2021. This was partly due to the recovery of the tourism and restaurant sectors, which contributed to a considerable decrease in Omicron cases.
Recovery from Unemployment
According to a report by USA Today, companies in the United States created 678,000 jobs in February, according to the latest employment data, providing fresh optimism in the battle against skyrocketing prices. The figure surpasses the 400,000 projected by analysts in a Bloomberg survey conducted earlier this year.
The figure represents a decrease in the unemployment rate from 4 percent in January to 3.8 percent the following month. Experts estimate that the United States had regained 90 percent —19.9 million — of the 22 million jobs lost when the epidemic began in 2009. The remaining 2.1 million jobs might be restored by mid-year.
Following the publication of the data, Vice President Joe Biden expressed extraordinary confidence, claiming that reducing unemployment is a consequence of his administration’s economic initiatives.
“This success is the outcome of the new economic strategy I discussed in the State of the Union address: growing the economy from the bottom up and from the middle out.”
One further noteworthy fact is that the labor force participation rate climbed from 62.2 percent to 62.3 percent, marking the highest level since March 2020. This was due to a 304,000 increase in the number of employed or looking for employment.
“There’s no doubt that people are returning to work,” Labor Secretary Marty Walsh said in an interview. Covid and the omicron variation are declining, whereas vaccines are on the rise… People are becoming much more comfortable.”
All evidence points to the pandemic’s grip on the employment market loosening, said Jane Oates, head of NGOs WorkingNation and JobsFirst.
Given the rebound in these industries, the leisure and hospitality industries saw the most broad-based employment gains for the month, gaining 179 positions. According to USA Today, professional and business services contributed 95,000, health care provided 64,000, construction contributed 60,000, transportation and warehousing contributed 48,000, retail contributed 37,000, and manufacturing contributed 36,000.