January 2018 Jobs Report
Job growth accelerated in January, the government reported Friday, giving President Donald Trump a boost following his State of the Union Address.
The Labor Department reported that the economy added 200,000 new jobs, up from 160,000 in December. The unemployment rate was unchanged for the fourth consecutive month at 4.1 percent.
The numbers also lend credence to Trump's claim during his address Tuesday that wages are beginning to rise under his leadership after months of stagnation with the economy nearing full employment. Wages in January rose to 2.9 percent over the previous year, compared to 2.7 percent in December, the largest year-over-year wage increase since June, 2009.
At the same time, continued growth will put pressure on Trump's new Federal Reserve chair, Jerome Powell, to raise interest rates — which could pose a threat to the stock market, Trump's favorite piece of evidence for the success of his presidency.
The labor force participation rate remained at 62.7 percent for the fourth consecutive month, the lowest level since the 1970s.
The job gains slightly exceeded the 2017 average of 181,000 new jobs per month. Over the past three months, gains averaged 192,000 per month.
House Ways and Means Chairman:
House Ways and Means Committee Chairman Kevin Brady (R-TX) released the following statement in response to the Labor Department’s January 2018 jobs report:
“This report marks a strong start to 2018 as our economy continues to improve under President Trump. Every day, American businesses are making commitments to invest in the greatest asset our nation has: the American people. They’re creating more job opportunities, boosting paychecks, and bringing money back to strengthen our communities and our workforce. I am confident this progress will continue as more workers, families, and job creators realize the benefits of tax reform.
“With a stronger economy and a new tax code that’s built for growth, Ways and Means is working to build off that success to further improve Americans’ lives. We’re focused on breaking down barriers to opportunity — to help our workers and businesses compete and win in countries around the world and help more Americans lift themselves out of poverty and into prosperity here at home. By finding more customers and helping more Americans get back to work, our economy will continue to thrive.”
Note: The U.S. Department of Labor reported today that the economy added 200,000 jobs in January and the unemployment rate was 4.1 percent.
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House Democratic Whip Steny Hoyer:
“This morning’s jobs report shows that the work done during the Obama Administration to help the private sector get more Americans back to work continues, if more slowly, under President Trump. But it’s not all good news. At a time when wages should be growing, despite the President’s claims in his State of the Union, this report shows weekly earnings fell in January.
“Since taking full control of our government a year ago, the Republican Congress and President have launched an all-out assault on middle-class workers and their families, kicking millions off their health coverage and raising their taxes in order to benefit the wealthiest 1%.
“Democrats remain focused on finding ways to help American workers get ahead in the middle class. While Republicans in Congress and President Trump waste their time pushing extreme partisan policies that put their wealthy donors first, Democrats will continue fighting for better wages, better benefits, and a better deal for working families. As we continue our Make It In America listening tour this year, we will maintain our focus on giving the American people a Congress that achieves results for all who work hard, not just those at the very top.”
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