Economist John Crudele had predicted last week that job growth in United States for the month of April would be good and the fact was reaffirmed by Labor Depart which announced that nearly 263000 jobs were created in the month of April. He has predicted that job growth across summer in the country is likely to remain strong and will continue to remain so for next two or three months. This is because the economy is growing at a steady pace and though there are signs of weakness here and there they do not point to recession in the near future.
Labor Department’s report revealed that 281000 jobs were added by new companies and this estimate was above jobs created in April last year. So it is most likely that job addition during May 2018 was at 215000 and in following months growth was at 112000 in June followed by 117000 in July. Though figures in April were great the May and June figures are not likely to be as strong. The new hiring in April has pushed low unemployment rate further down to 3.6 which is close to figures recorded in 1969.
But this rise in employment opportunities is not translating to higher salaries and as per April figures wages rose by merely 6 cents and in previous month they rose by just 4 cents. In other words though US economy is expanding its benefits are not trickling down to middle class and working class families and the only advantage they have is job security. The new job opportunities of April were created in fields of healthcare, constructions, business services and also social services. The average job growth in last three months was around 169000 that were lower than 223000 monthly average of last year. Workers in private sector got average hourly raise of just 6 cents that increased their hourly pay to $27.77.