WASHINGTON, DC-The Bureau of Labor Statistics has announced 171,000 jobs were added to the US economy in October, leaving the unemployment rate rising slightly to 7.9%. The announcement is the last before next week's presidential election and sure to provide talking points for both camps.
October's rate was slightly better than the 157,000 jobs per month added, on average, in 2012 and better than the 153,000 added in 2011. Professional and business services, health care, and retail trade were among the categories that saw job growth.
Professional and business services added 51,000 jobs in October, led by gains in services to buildings and dwellings--for an increase of 13,000--and in computer systems design, which saw 7,000 new positions added. Health care added 31,000 jobs in October, with the most (25,000) in ambulatory health care services and hospitals, at 6,000 positions. Retail trade added 36,000 jobs in October, with gains in motor vehicles and parts dealers (7,000), and in furniture and home furnishings stores 4,000). Employment in leisure and hospitality also saw increases, of 28,000, over the past month. Construction, as well, edged up, although most of the gain, at 17,000, was in specialty trade contractors.
The report is an encouraging one for the commercial real estate office sector as most of the job creation occurred in the services sector, Jones Lang LaSalle's research director Scott Homa tells GlobeSt.com. "Office-occupying segments, such as professional and business services, recorded healthy employment gains, which should signal an increase in office market demand down the line." Of course, he adds, businesses continue to keep a close eye on their bottom line and have been very aggressive in managing expenses. "Therefore we expect the trend of cost-containment in leased office space to continue to mitigate the growth we're seeing in overall employment."
In addition, Homa says, enhancing space efficiency remains a key priority for tenants across industry sectors, so to truly 'move the needle' in the office market, there needs to be more robust growth in the economy.
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