December’s employment boosts and the slowly but surely declining rate of unemployment have put the year 2014 for the U.S. the best year for employment since 1999. The ratings have strengthened the country’s leading role in the global economy’s performance.
A 353,000 increase in the previous month’s hire rate was added with another 252,000. The rate exceeded previous estimations, according to a report by the Washington Labor Department. The unemployment rate slowed down to 5.6 per cent, which is the lowest rate since June 2008.
Earnings, however, have undergone an unexpected fall in the previous month.
Michael Feroli, a U.S. economist at JPMorgan Chase & Co., said that the country is experiencing constant and solid growth in job. There is a positive momentum in the U.S. growth. There are not too many places in the world that can say that currently, he added.
Almost 3 million American citizens found work in 2014. This has been the greatest employment rate in 15 years. Companies in 2015 will remain optimistic that the demand in the U.S. will remain high despite the struggle for employment overseas.
The fall in hourly wages could also mean that the Federal Reserve policy creators are less probable to increase the time before which they dish out an interest rate hike.
Amherst Pierpont Securities LLC chief economist Stephen Stanley said that the current data does not point to any pressures on wages. There is actually nothing to worry about in regards to the inflation. The chances of the Federal Reserve moving faster become lessened.