US jobless rate dips to 9.7% on massive census hiring

A massive temporary hiring by the US administration for census activities created 4,31,000 new jobs, bringing down the national unemployment rate to 9.7 per cent in May.

Significantly, out of these new jobs, a staggering 4,11,000 were temporary recruits for census activities by the Federal government.

"Total non-farm payroll employment grew by 4,31,000 in May, reflecting the hiring of 4,11,000 temporary employees to work on census 2010. The unemployment rate edged down to 9.7 per cent," the US labour department said in a statement today.

On the positive side, the jobless rate has come down to 9.7 per cent last month from 9.9 per cent in April. The number of jobs created in May was much less than analysts' estimate of around 5,63,000, signalling that the laboor market would take more time to stabilise.

Last month, manufacturing, temporary help services, and mining added new jobs while employment in construction industry dropped.

"Manufacturing employment rose by 29,000 over the month. Temporary help services added 31,000 jobs over the month," the statement said.

On the other hand, employment in the construction sector fell by 35,000 jobs.

The number of unemployed persons touched 15 million in May, with 6.8 million people remaining jobless for 27 weeks and more.

Among the major worker groups, the unemployment rate for the blacks stood at 15.5 per cent, adult men (9.8 per cent), adult women (8.1 per cent), teenagers (26.4 per cent), and whites (8.8 per cent).

The employment market continues to remain shaky even as the national economy is growing at a healthy pace.