May US Jobs Report: 272,000 Rise in Payrolls, Much Stronger Than Forecast

The US economy added 272,000 jobs in May, according to the latest report from the Bureau of Labor Statistics—well above expectations.

The report revised down previous estimates for new job creation in April and March. The unemployment rate edged up to 4.0% in May from 3.9% in April. Economists predicted the US economy would add 180,000 jobs in May, while the unemployment rate would hold steady at 3.9%.

May Jobs Report Key Stats

• Total nonfarm payrolls climbed by 272,000 versus a downward-revised 165,000 in April. April’s increase was originally reported as an increase of 175,000.
• The unemployment rate ticked up to 4.0% from 3.9% in April.
• Average hourly wages climbed by 0.4% to $34.91 after rising 0.2% in April.

In May, average hourly wages climbed by 14 cents, or 0.4%, to $34.91. Over the past 12 months, average hourly earnings have increased by 4.1%. Hourly earnings were predicted to rise 0.3% on a monthly basis.

The average workweek for all employees on private nonfarm payrolls was unchanged at 34.3 hours in May. For manufacturing employees, the average workweek remained at 40 hours, and overtime was unchanged at 2.9 hours. For production and nonsupervisory employees, the average workweek increased to 33.6 hours from 33.5 the prior month.

This article was partially generated by Wordsmith, an automated smart-text platform, using data from the Bureau of Labor Statistics. The article has been reviewed by Morningstar editors.