Economics
Sharp U.S. Hiring Downshift Projected With More Risks On Horizon
- Surging virus and new lockdowns to curtail December job growth
- Vaccine may not invigorate the job market until second quarter
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U.S. job growth probably suffered a sharp slowdown in December, with further weakness expected until Covid-19 vaccines reach a larger swath of Americans and restore broader economic activity.
Economists project the government jobs report on Friday will show the unemployment rate increased for the first time in eight months with employers hiring 50,000 workers, the fewest since payrolls started to recover in May. That pace, typically insufficient to reduce the jobless rate, would be lackluster growth even in pre-pandemic times, and more than a quarter of forecasters surveyed expect employment to decline amid soaring infections that have spurred states to tighten restrictions.