The U.S. economy closed out 2023 by adding more jobs.
The economy added 216,000 jobs in December, according to the U.S. Bureau of Labor Statistics. It was just off the monthly average for the year of 225,000. Throughout 2023, the economy added 2.7 million.
The job growth was down from the 4.8 million positions added in 2022.
Unemployment stayed at 3.7 percent, the same as November. It is up slightly from the 3.5 percent rate at the end of 2022.
The labor participation rate is at 62.5 percent, down 0.3 from November.
The labor news followed the Federal Reserve electing to keep its target rate steady in December at 5.25 to 5.5 percent. The Fed’s decision on rates followed November’s modest job report and encouraging consumer price index data from the Bureau of Labor Statistics.
The Federal Open Market Committee will meet Jan. 30-31 to determine the next step with rates.
Of jobs added in December, 52,000 were in the government sector. Healthcare employment increased by 38,000. Leisure and hospitality added 40,000 jobs. Construction jobs grew by 17,000.
Transportation and warehousing lost 23,000 jobs. The sector has lost 100,000 jobs since October 2022.
Average hourly earnings increased by 0.4 percent in December to $34.27. In 2023, the hourly pay increased by 4.1 percent.
The workweek dropped by 0.1 percent to 34.3 hours.
