The July jobs report was released on Friday morning, and it's not looking good. According to the U.S. Bureau of Labor Statistics, the unemployment rate rose to 4.3 percent. The number of unemployed people is at 7.2 million. The labor force participation rate rose to 62.7 percent.
"These measures are higher than a year earlier, when the jobless rate was 3.5 percent, and the number of unemployed people was 5.9 million," the report noted.
Unemployment rate rises to 4.3% in July; payroll employment edges up by 114,000 #JobsReport #BLSdata https://t.co/ZwrVfLviqL
— BLS-Labor Statistics (@BLS_gov) August 2, 2024
As Fox Business highlighted, these numbers are "much weaker than expected," given that the estimate was 175,000 jobs. The unemployment rate was also worse than expected, given that it was expected to be at 4.1 percent.
The segment also highlighted how, when it comes to government jobs, there were "a lot less than what we got last month," which was 70,000 and is now at 17,000.
Private sector jobs were also "much weaker than expected," given that there were only 97,000 jobs when 148,000 were expected.
JOBS REPORT: “MUCH WEAKER THAN EXPECTED.”
— RNC Research (@RNCResearch) August 2, 2024
Unemployment shot up to 4.3% — the highest since October 2021. pic.twitter.com/fPaTfIhE2Y
When it comes to the "major worker groups" most affected, the unemployment rate for adult men (4 percent) and whites (3.8 percent) increased for July. "The jobless rates for adult women (3.8 percent), teenagers (12.4 percent), Blacks (6.3 percent), Asians (3.7 percent), and Hispanics (5.3 percent) showed little or no change over the month," the July report also highlighted.
It's not merely unemployment that rose, but also the number of people who have been forced into part-time work "for economic reasons," from 346,000 to 4.6 million in July. "These individuals, who would have preferred full-time employment, were working part time because their hours had been reduced or they were unable to find full-time job," the report explained.
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Alfredo Ortiz, CEO of Job Creators Network, released a statement in response to the July jobs report.
"The American job market has significantly downshifted as consumers, which drive the economy, are tapped out from the ongoing cost-of-living crisis under the Biden-Harris administration. Job growth was well below expectations and the recent monthly average. More than two-thirds of new jobs were created in the unproductive government or quasi-government healthcare and social services sectors of the economy," he said.
"There are now 1.3 million more unemployed Americans than last year. And job growth in previous months was revised down yet again. To reinvigorate the job market and overall American economy, new leadership in the Executive Branch is needed. Conservative pro-growth policies such as tax cuts, deregulation, and domestic energy production can empower Main Street job creators to restore shared economic prosperity," Ortiz added, not only putting the numbers in perspective, but also calling for "new leadership."
"Recession" has been trending over X in response to the jobs report, especially as Economist John Lonski voiced his concerns while on Fox Business, particularly that markets "are becoming worried about the possibility of a recession." He himself said "I am beginning to smell a recession," emphasizing his points with "my goodness!"
"This is a bearish report for the U.S. economy, the market has it right, we have strong reason to be worried about the sustainability of corporate profits looking ahead," he also shared.
Accounts with the Trump camp, such as the Trump War Room, and allies such as Rep. Jim Banks (R-IN) tied such concerns to Vice President Kamala Harris and the 2024 election, warning about "Kamalanomics."
KAMALANOMICS: “The markets are no longer worried about inflation — they are becoming worried about the possibility of a recession.” pic.twitter.com/RncmJta1oU
— Trump War Room (@TrumpWarRoom) August 2, 2024
We must replace Kamalanomics with MAGAnomics if we want to avoid a recession!
— Jim Banks (@Jim_Banks) August 2, 2024
Choose wisely in November! https://t.co/hn8JYIt1GA
Update: The White House has released a statement from President Joe Biden, which actually tries to fail the report as good news.
"Since Vice President Harris and I took office, our economy has created nearly 16 million jobs, average unemployment has been lower than during any administration in 50 years, and incomes have risen faster than prices. Today’s report shows employment is growing more gradually at a time when inflation has declined significantly. Business investment remains strong thanks in part to our investing in America agenda, which is creating good-paying jobs in communities that have been left behind. There’s more to do, but we’re making progress growing the economy from the middle out and the bottom up," the statement began, in no way referencing how the jobs report was worse than expected, and how unemployment is not only rising, but is also worse than expected.
The statement continued by going for political cheap shots aimed at Republicans. "Prices are still too high. We will keep fighting to lower costs by taking on price gouging, capping prescription drug costs, and building more homes. Congressional Republicans are siding with special interests at the expense of the middle class--with more tax cuts for billionaires and big corporations while threatening Social Security and Medicare. While they try to take us back, we will keep fighting for the future," Biden added.
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