Trump Economy: Unemployment Rises To 4.6%, Job Growth Collapses

The U.S. unemployment rate climbed to 4.6% in November as employers added just 64,000 jobs, underscoring a cooling labor market heading into the end of the year.​

Labor market slows

The Labor Department said total nonfarm payroll employment increased by 64,000 last month, a gain that beat some economists’ expectations but still signals weak job creation for an economy of America’s size. The unemployment rate rose from 4.4% in September to a four-year high of 4.6%, leaving about 7.8 million people out of work.

Sector gains and losses

Job growth was concentrated in health care and construction, which together accounted for most of November’s payroll gains, while federal government employment continued to edge lower. Analysts said the numbers point to a labor market that is no longer the powerhouse it was earlier in the recovery, even as some higher-income and college-educated workers remain in relatively strong demand.​

Political and economic stakes

The report presents a challenge for President Donald Trump, who has pointed to job creation as a key measure of his economic stewardship since returning to the White House this year. With unemployment drifting higher and monthly job gains slowing, pressure is likely to build on the administration and Congress to shore up growth ahead of next year’s budget and tax debates.