It was because of employers adding more part-time workers in September that improved the Unemployment rate to 7.8% said the U.S. Department of Labor.
The key government report that was released with one more month to go before the nation’s presidential elections showed a drop in unemployment of .3% today. August’s unemployment rate read 8.1%. It was thought that September’s unemployment rates would go higher than that number. The unemployment report is one of the final gauges of the economy before voters go to the polls next month.
With the numbers from the summer being 181,000 in July and 142,000 in August, September’s 114,000 jobs while still lower show a larger growth in the third quarter than did the Spring quarter of the year. The reported numbers of unemployed dropped 456,000 to 12.1 million in September.
The 7.8 unemployment rate is also the lowest since President Obama took office in January 2009. This bolsters the president’s claims that the economy is on the right track. Presidential candidate Mitt Romney pushed hard criticizing the president over high unemployment rates and a stagnant economy on Wednesday. In contrast to Obama’s record, Romney said that “If I’m president I will create—help create—12 million new jobs in this country with rising incomes.”
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When the report came out today, the retired chairman of General Electric, Jack Welch said in a tweet, “Unbelievable jobs numbers..these Chicago guys will do anything..can’t debate so change numbers.” The comment set of a firestorm of conspiracy theorists on the web.
Tea Party favorite Representative Allen West (R-Fla) treeted as well, saying, “I agree with former GE CEO Jack Welch, Chicago style politics is at work here….”
Labor Secretary Solis commented back at an appearance on CNBC saying the statement by Welsh was ludicris. She also said of the BUreau of Labor Statistics, “You know I am insulted when I hear that because we have a very professional civil service organization where you have top economists working.”
The broader measure of unemployment uses job seeker numbers as well as part-time job seekers. That number remained largly the same in September. That number was 14.7%.