Nonfarm payrolls fell by just 11,000 last month, slowing down from a downwardly revised 111,000 drop seen in October, reported the Labor Department.
It was the best showing in payrolls since December 2007, when the recession began and payrolls had risen by 120,000. Economists surveyed by Dow Jones Newswires had expected a payroll decrease of 125,000.
The unemployment rate, calculated using a survey of households as opposed to companies, edged lower to 10% in November from 10.2%. Economists had forecast the jobless rate would remain at October's level of 10.2%, the highest level since April 1983.
The payroll data reflect the first notable improvement in the jobs market since the recession began two years ago; although we still have yet to see net job growth. However, it seems as though we should see some job growth in the payroll data in the coming months.
Employment in the service sector -- the main source of U.S. jobs -- rose by 58,000 in November. But that was more than offset by manufacturing companies shedding 41,000jobs and construction companies cutting 27,000.
Health-care employment continued to rise in November, by 21,000. The industry has added 613,000 jobs since the recession began at the end of 2007.
With unemployment still at 10%, the Federal Reserve's view that interest rates must remain at a record low to bolster a soft recovery should remain unchanged. The central bank left interest rates close to zero a month ago in the face of low inflation and still-high unemployment.
