Federal Workforce

The BLS reported payrolls rose by 64,000 in November while the unemployment rate climbed to 4.6% — the highest in more than four years — and October showed a net loss of about 105,000 jobs largely tied to roughly 162,000 federal workers taking buyouts and being dropped from payrolls. Labor force participation rose (up ~323,000), November gains were concentrated in health care (+46,000) and construction (+28,000) while manufacturing and leisure & hospitality declined, average hourly earnings increased 0.1% m/m and 3.5% y/y, and preliminary revisions trimmed August–September totals by about 33,000 amid warnings of possible further downward revisions.