[h=3]By JEFFREY SPARSHOTT And ERIC MORATH[/h]WASHINGTON—The job market plodded along in January, signaling slow economic growth to start the year.
Employers added 157,000 jobs last month, the Labor Department said Friday. The unemployment rate, obtained by a separate survey of U.S. households, ticked up one-tenth of a percentage point to 7.9%.
Economists surveyed by Dow Jones Newswires expected nonfarm payrolls to rise by 166,000 and that the unemployment rate would hold steady at 7.8%
Friday's report offers a mixed view of the labor market. January's data which show job growth decelerating, but revisions to 2012 figures show that employers were adding to payrolls faster than originally thought.
For all of last year, the economy added an average of 181,000 jobs a month, according to updated figures, better than the 153,000 pace originally reported. Underscoring that improvement, December's payroll figures were revised to a gain of 196,000 from an initially reported 155,000, while November increased to 247,000 from 161,000.
The change to last year's numbers in part reflects the Labor Department's annual benchmark revision, which incorporates newly available tax records. From April 2011 to March 2012, the economy added about 422,000 more jobs than previously believed.
Still, payrolls aren't rising fast enough to dent the unemployment rate, which showed that 12.3 million Americans who wanted a job couldn't find one last month. The rate increased as more people entered the work force.
The unemployment rate remains well above the 6.5% threshold the Federal Reserve is targeting before allowing interest rates to rise. The Fed this week continued its easy-money policies in hopes of stimulating growth.
The latest snapshot of the labor market comes against a backdrop of slow economic growth. U.S. gross domestic product—the broadest measure of economic output—shrank in the fourth quarter of last year. For the whole year, economic activity expanded 2.2%, a fairly meager pace that may be repeated in 2013.
The housing industry is rebounding and business investment appears solid, but government cutbacks have weighed on the economy and consumer attitudes have soured. That has led many economists to forecast a slow start to 2013, followed by faster growth in the second half.
Friday's report showed that private companies added 166,000 jobs in January, accounting for all of the month's gains. Employment increased in retail, construction, health care and wholesale trade. Manufacturing saw a small gain of 4,000 jobs.
Payrolls shrank in the transportation and warehousing industries.
Governments, meanwhile, shed 9,000 jobs. The federal work force shrank by 5,000, while local governments cut back by 6,000, mostly in education.
Average earnings rose by four cents to $23.78 an hour, while the average workweek was unchanged at 34.4 hours.
A broader measure of unemployment—which includes job seekers as well as those in part-time jobs—held steady at 14.4% in January.
Employers added 157,000 jobs last month, the Labor Department said Friday. The unemployment rate, obtained by a separate survey of U.S. households, ticked up one-tenth of a percentage point to 7.9%.
Economists surveyed by Dow Jones Newswires expected nonfarm payrolls to rise by 166,000 and that the unemployment rate would hold steady at 7.8%
Friday's report offers a mixed view of the labor market. January's data which show job growth decelerating, but revisions to 2012 figures show that employers were adding to payrolls faster than originally thought.
For all of last year, the economy added an average of 181,000 jobs a month, according to updated figures, better than the 153,000 pace originally reported. Underscoring that improvement, December's payroll figures were revised to a gain of 196,000 from an initially reported 155,000, while November increased to 247,000 from 161,000.
The change to last year's numbers in part reflects the Labor Department's annual benchmark revision, which incorporates newly available tax records. From April 2011 to March 2012, the economy added about 422,000 more jobs than previously believed.
Still, payrolls aren't rising fast enough to dent the unemployment rate, which showed that 12.3 million Americans who wanted a job couldn't find one last month. The rate increased as more people entered the work force.
The unemployment rate remains well above the 6.5% threshold the Federal Reserve is targeting before allowing interest rates to rise. The Fed this week continued its easy-money policies in hopes of stimulating growth.
The latest snapshot of the labor market comes against a backdrop of slow economic growth. U.S. gross domestic product—the broadest measure of economic output—shrank in the fourth quarter of last year. For the whole year, economic activity expanded 2.2%, a fairly meager pace that may be repeated in 2013.
The housing industry is rebounding and business investment appears solid, but government cutbacks have weighed on the economy and consumer attitudes have soured. That has led many economists to forecast a slow start to 2013, followed by faster growth in the second half.
Friday's report showed that private companies added 166,000 jobs in January, accounting for all of the month's gains. Employment increased in retail, construction, health care and wholesale trade. Manufacturing saw a small gain of 4,000 jobs.
Payrolls shrank in the transportation and warehousing industries.
Governments, meanwhile, shed 9,000 jobs. The federal work force shrank by 5,000, while local governments cut back by 6,000, mostly in education.
Average earnings rose by four cents to $23.78 an hour, while the average workweek was unchanged at 34.4 hours.
A broader measure of unemployment—which includes job seekers as well as those in part-time jobs—held steady at 14.4% in January.