We collect cookies to analyze our website traffic and performance; we never collect any personal data. Cookie Policy
Accept
The Tycoon Herald
  • Trending
  • World
  • Politics
  • Business
    • Business
    • Economy
    • Real Estate
    • Money
    • Crypto / NFT
  • Innovation
  • Lifestyle
    • Lifestyle
    • Food
    • Travel
    • Fashion
    • Leadership
  • Health
  • Sports
  • Entertainment
Reading: December Jobs Come In Well Under Expectations, Even As Unemployment Drops To 3.9%
Sign In
The Tycoon HeraldThe Tycoon Herald
Font ResizerAa
Search
  • Trending
  • World
  • Politics
  • Business
    • Business
    • Economy
    • Real Estate
    • Money
    • Crypto / NFT
  • Innovation
  • Lifestyle
    • Lifestyle
    • Food
    • Travel
    • Fashion
    • Leadership
  • Health
  • Sports
  • Entertainment
Have an existing account? Sign In
Follow US
© Tycoon Herald. All Rights Reserved.
December Jobs Come In Well Under Expectations, Even As Unemployment Drops To 3.9%
The Tycoon Herald > Money > December Jobs Come In Well Under Expectations, Even As Unemployment Drops To 3.9%
Money

December Jobs Come In Well Under Expectations, Even As Unemployment Drops To 3.9%

Tycoon Herald
By Tycoon Herald 6 Min Read
Share
SHARE

The December jobs numbers just out are a big disappointment to many. Total nonfarm employment rose by 199,000—less than half of the projected 400,000 to 420,000, as various news agencies had reported. That’s before the effects of the Omicron variant were expected to hit hard in the first quarter of 2022, as the December survey took place in the middle of the month.

What are the reasons? It’s impossible to know exactly, but here are some possibilities.

More choices for workers, fewer for employers

One is the ongoing “great resignation,” which is tied tightly into the high number of available jobs per unemployed person.

People wait for their food at a restaurant near a “We’re Hiring” sign at the American Dream shopping … [+] mall in East Rutherford, New Jersey, on Saturday, December 4, 2021. (AP Photo/Ted Shaffrey)

ASSOCIATED PRESS

For years, jobs have been growing faster than the number of people available to do them. The number has jumped from about 1.3 jobs per person at the end of August 2021 to almost 1.6 jobs through November 2021. The more jobs per person, the more choices people have in work opportunities overall, while the fewer people available to fill jobs.

MORE FOR YOU

The growth has been particularly fast in jobs with more specialized and complex skill requirements in technical, scientific, and engineering positions, which means even tighter availability of people to hire. When labor is short, filling jobs is more difficult and, so, the actual jobs numbers could be restrained.

A mismatch of sampling

Going back to the idea of the great recession is that people are leaving jobs at a dizzying rate. In the Job Openings and Labor Turnover Summary (JOLTS) report for November—from the people who bring the monthly jobs numbers (Bureau of Labor Statistics, or BLS)—there were 6.3 million separations, of which 4.5 million were people quitting. The other 1.8 million were layoffs, discharges, and other separations.

The 4.5 million was a series high—huge number of people leaving jobs, many of whom might have taken others or have been looking. Maybe companies had to focus on backfilling jobs, leaving them less time to recruit during the sampling week of December.

Some reports brought up the Omicron variant of Covid-19 as the main factor. It’s tough to tell. There was news of Omicron early in December, but had enough concern built up to keep people from looking for jobs? Perhaps but hard to say. As Anu Gaggar, global investment strategist for Commonwealth Financial Network, said in a note today, “Nonfarm payrolls number was a disappointment, increasing by less than half of economist expectations, and the impact of omicron hadn’t even fully flowed through into this print.”

Approaching normal

Another possibility, though, is that the country might be approaching recent normalcy. The next graph shows the employed people as a percentage of the civilian labor force:

The 96.1% level in December 2021 is in the same ballpark as 95.9% in December 2017, 96.1% in December 2018, and 96.5% in December 2019. A little more room given that last figure, but not that far off, versus 93.3% in December 2020.

Put together a recovering economy, longer-term trend of the number of jobs per person growing, the speed at which companies can and do add new jobs, a declining birth rate trend, hostility toward allow immigration, and people looking to move out of low-wage and poor-condition employment (creating a job opening when finding a new employer), and there comes a point where expectations for big job growth all the time is unrealistic.

The combination of factors would seem to suggest that the U.S. will see flattening job creation. Really, with an unemployment rate below 4%—which used to be in the ballpark of what economists would call full employment—how could one expect even more?

Though all these numbers miss people marginally attached or who are discouraged tend to be hidden in these discussions.

“However, if we include marginally attached and discouraged workers (U-6 measure), 7.3% of the US population is currently un/under employed,” Gaggar says. “Overall, this print had mixed messaging – the payrolls growth number may look disappointing, but the underlying story is lack of availability of labor, which is manifesting itself in faster wage growth. The combination of the decline in unemployment rate to below Fed’s long-term equilibrium level and acceleration in wage growth brings the Fed’s March meeting in play for the first-rate hike of this cycle.”

You Might Also Like

How To Make A Funds: 12 Simple Methods To Do It (The Full Information) – Dollarsanity

10 Outdated-Normal Cleansing Suggestions from Grandma – Dollarsanity

Wedding ceremony On A Funds: Get $30K-Like Wedding ceremony For $5K or Much less – Dollarsanity

80 Issues I Stopped Shopping for to Save Money Quick and Pay Off Debt – Dollarsanity

50 Small Business Concepts For Ladies – Dollarsanity

TAGGED:MoneyThe Forbes Journal
Share This Article
Facebook Twitter Email Copy Link Print
Hamzah Sheeraz hammers Edgar Berlanga to advance his case for a shot at Canelo Alvarez
Sports

Hamzah Sheeraz hammers Edgar Berlanga to advance his case for a shot at Canelo Alvarez

Hamzah Sheeraz moved as much as super-middleweight and stopped Edgar Berlanga, starring at a boxing occasion held on the Louis Armstrong stadium, the house of the US Open tennis event.Sheeraz,…

By Tycoon Herald 5 Min Read
Kelly Clarkson Returns to The Stage After Las Vegas Residency Cancellations
July 13, 2025
Eire beat Portugal 106-7 in record-breaking 16-try rout | ‘I really feel sorry for Portugal,’ says Paul O’Connell
July 13, 2025
Travis Kelce Struggles on Golf Course, Kilos Beers with Brother Jason & Baker Mayfield
July 13, 2025
British and Irish Lions: Ronan O’Gara reveals Take a look at squad – ‘I would depart finest gamers like Dan Sheehan, Tadhg Furlong on bench’
July 13, 2025

You Might Also Like

80 Timeless Frugal Residing Suggestions That Nonetheless Work At present – Dollarsanity
Money

80 Timeless Frugal Residing Suggestions That Nonetheless Work At present – Dollarsanity

By Tycoon Herald 18 Min Read
Easy methods to make Money on Pinterest With out a Weblog – Dollarsanity
Money

Easy methods to make Money on Pinterest With out a Weblog – Dollarsanity

By Tycoon Herald 35 Min Read
21 Web sites The place Wealthy Individuals Giveaway Free Money – Dollarsanity
Money

21 Web sites The place Wealthy Individuals Giveaway Free Money – Dollarsanity

By Tycoon Herald 12 Min Read

More Popular from Tycoon Herald

MEET THE FATHER OF COADUNATE ECONOMIC MODEL
BusinessTrending

MEET THE FATHER OF COADUNATE ECONOMIC MODEL

By Tycoon Herald 2 Min Read
Woman Sentenced to 7 Days in Jail for Walking in Yellowstone’s Thermal Area

Woman Sentenced to 7 Days in Jail for Walking in Yellowstone’s Thermal Area

By Tycoon Herald
Empowering Fintech Innovation: Swiss Options Partners with Stripe to Transform Digital Payments
InnovationTrending

Empowering Fintech Innovation: Swiss Options Partners with Stripe to Transform Digital Payments

By Tycoon Herald 7 Min Read
Sports

Tottenham vs Eintracht Frankfurt: Meet Spurs’ Europa League quarter-final opponents who can finish their season

A World Cup winner, a possible Premier League striker and the quickest Bundesliga participant in historical…

By Tycoon Herald
Entertainment

TMZ TV Sizzling Takes: Gisele Bündchen, Mark Zuckerberg, Flag Soccer Star

Gisele Bundchen is floating previous Tom Brady, Mark Zuckerberg is talking out in opposition to the…

By Tycoon Herald
Trending

U.S. Blew Up a C.I.A. Post Used to Evacuate At-Risk Afghans

A controlled detonation by American forces that was heard throughout Kabul has destroyed Eagle Base, the…

By Tycoon Herald
Leadership

Northern Lights: 17 Best Places To See Them In 2021

Who doesn’t dream of seeing the northern lights? According to a new survey conducted by Hilton, 59% of Americans…

By Tycoon Herald
Real Estate

Exploring Bigfork, Montana: A Little Town On A Big Pond

Bigfork, Montana, offers picturesque paradise in the northern wilderness. National Parks Realty With the melting of…

By Tycoon Herald
Leadership

Leaders Need To Know Character Could Be Vital For Corporate Culture

Disney's unique culture encourages young employees to turn up for work with smiles on their faces.…

By Tycoon Herald
The Tycoon Herald

Tycoon Herald: Your instant connection to breaking stories and live updates. Stay informed with our real-time coverage across politics, tech, entertainment, and more. Your reliable source for 24/7 news.

Company

  • About Us
  • Newsroom Policies & Standards
  • Diversity & Inclusion
  • Careers
  • Media & Community Relations
  • WP Creative Group
  • Accessibility Statement

Contact Us

  • Contact Us
  • Contact Customer Care
  • Advertise
  • Licensing & Syndication
  • Request a Correction
  • Contact the Newsroom
  • Send a News Tip
  • Report a Vulnerability

Terms of Use

  • Digital Products Terms of Sale
  • Terms of Service
  • Privacy Policy
  • Cookie Settings
  • Submissions & Discussion Policy
  • RSS Terms of Service
  • Ad Choices
© Tycoon Herald. All Rights Reserved.
Welcome Back!

Sign in to your account

Lost your password?