US employment growth slowed much more-than-expected in August, amid weaker demand for services and persistent labor shortages due to a sharp rise in coronavirus cases. According to a report by the Department of Labor, the number of employed in the US economy, excluding the agricultural sector, rose by only 235,000 in August, after surging by 1.05 million in July. The unemployment rate in August fell from 5.4% in July to 5.2%. However, analysts point out that this figure is likely an underestimate due to people misclassifying themselves as «employed but absent from work». Analysts predicted that the number of jobs excluding the agricultural sector will increase by 728 thousand, and the unemployment rate will drop to 5.2%.
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