U.S. economy adds over 700,000 fewer jobs than expected: 'Thought this was a glitch on my computer'
The latest U.S. jobs report has come in way under expectations.
The Labor Department said Friday the U.S. economy added 266,000 jobs in April, whereas economists had been expecting around 1 million jobs would be added, CNBC reports. The Labor Department had previously said that 916,000 jobs were added in March, though this number was revised down to 770,000 on Friday. The unemployment rate also increased slightly from six percent to 6.1 percent.
The report was so significantly below expectations that Politico reporter Megan Cassella wrote that when she saw the 266,000 number, "I thought this was a glitch on my computer." In fact, it was "the biggest miss, relative to expectations, in the history of the payrolls report," Axios reports.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
Economist Justin Wolfers wrote that 266,000 jobs being added "would be fabulous in normal times, but is utterly disappointing" compared to the forecasts, adding, "This is a big miss that changes how we think about the recovery."
The miss comes as some businesses, The Washington Post writes, have told lawmakers they've been "having a hard time recruiting workers, particularly for low-wage, hourly jobs." Glassdoor senior economist Daniel Zhao said the result was surprising "given the increasing distribution of vaccines and continuing economic reopening," adding it will likely be "interpreted as being caused by labor shortages, raising the temperature on the political debate surrounding extended unemployment benefits."
Create an account with the same email registered to your subscription to unlock access.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Brendan worked as a culture writer at The Week from 2018 to 2023, covering the entertainment industry, including film reviews, television recaps, awards season, the box office, major movie franchises and Hollywood gossip. He has written about film and television for outlets including Bloody Disgusting, Showbiz Cheat Sheet, Heavy and The Celebrity Cafe.
-
The toilet roll tax: UK's strange VAT rules
The Explainer 'Mysterious' and 'absurd' tax brought in £168 billion to HMRC last year
By The Week UK Published
-
Why is Tesla stumbling?
In the Spotlight More competition, confusion about the future and a giant pay package for Elon Musk
By Joel Mathis, The Week US Published
-
How Taylor Swift changed copyright negotiations in music
under the radar The success of Taylor's Version rerecordings has put new pressure on record labels
By Theara Coleman, The Week US Published
-
Empty-nest boomers aren't selling their big homes
Speed Read Most Americans 60 and older do not intend to move, according to a recent survey
By Peter Weber, The Week US Published
-
Brazil accuses Musk of 'disinformation campaign'
Speed Read A Brazilian Supreme Court judge has opened an inquiry into Elon Musk and X
By Rafi Schwartz, The Week US Published
-
Disney board fends off Peltz infiltration bid
Speed Read Disney CEO Bob Iger has defeated activist investor Nelson Peltz in a contentious proxy battle
By Rafi Schwartz, The Week US Published
-
Disney and DeSantis reach detente
Speed Read The Florida governor and Disney settle a yearslong litigation over control of the tourism district
By Peter Weber, The Week US Published
-
Visa and Mastercard agree to lower swipe fees
Speed Read The companies will cap the fees they charge businesses when customers use their credit cards
By Peter Weber, The Week US Published
-
Reddit IPO values social media site at $6.4 billion
Speed Read The company makes its public debut on the New York Stock Exchange
By Peter Weber, The Week US Published
-
Housing costs: the root of US economic malaise?
speed read Many voters are troubled by the housing affordability crisis
By Peter Weber, The Week US Published
-
Feds cap credit card late fees at $8
speed read The Consumer Financial Protection Bureau finalized a rule to save households an estimated $10 billion a year
By Peter Weber, The Week US Published