JOBS REPORT: U.S. Adds Robust 254,000 Jobs And Unemployment Dips To 4.1%

The latest figures suggest that many companies are still confident enough to fill jobs despite the continued pressure of high interest rates.

WASHINGTON (AP) — America’s employers added a surprisingly strong 254,000 jobs in September, the latest evidence that the U.S. labor market is still solid enough to support steady hiring and a growing economy.

Last month’s hiring gain was up sharply from the 159,000 jobs that were added in August, and the unemployment dropped from 4.2% to 4.1%, the Labor Department said Friday.

The latest figures suggest that many companies are still confident enough to fill jobs despite the continued pressure of high interest rates. Few employers are laying off workers, though many have grown more cautious about hiring.

The economy’s progress in taming inflation led the Federal Reserve last month to cut its benchmark interest rate for the first time in more than four years. The Fed said it wanted to ease the cost of borrowing to help bolster the job market.

The economy’s resilience has come as a relief. Economists had expected that the Fed’s aggressive campaign to subdue inflation — it jacked up interest rates 11 times in 2022 and 2023 — would cause a recession. It didn’t. The economy kept growing even in the face of ever-higher borrowing costs for consumers and businesses.