April produced the biggest spike in private sector jobs since 2008, according to a report released May 5.
The private sector added 32,000 jobs last month, part of 290,000 new jobs created across all sectors of the U.S. economy and the fourth straight month that new jobs have been added, according to a monthly report issued by payroll company Automatic Data Processing Inc.
“Today’s announcement that the economy produced 290,000 jobs in April—the largest gain in four years—is a strong indicator the economy is improving,” Congressional Black Caucus Chairwoman Rep. Barbara Lee (D-Calif.) said in a press release. “It is clear that the policies of President Obama and the Democratic-led Congress are reversing the disastrous policies of the Bush Administration precipitating this recession, but we have more work to do.”
However, unemployment remains high in minority communities, with unemployment rates among Black and Hispanic workers at 16.5 percent and 12.5 percent, respectively, compared to 9 percent for Whites. That gap is something Lee wants to see remedied immediately.
“These figures remain unacceptably high and speak to the continued need to develop policies that address the needs of the chronically unemployed,” she said.
The national unemployment rate continues to hover at just below 10 percent, and some economists believe that employers will work to make their existing workers more efficient before adding new jobs.
“ will first do what they can to maximize the productivity of existing employees through measures such as upgrading technology and expanding the hours of part-time workers,” John A. Challenger, CEO of Challenger, Gray & Christmas, a global outplacement consultancy company, told CNBC.
Experts at the Employment Policy Institute said that for the economy to fully recover, the U.S. will need to see job growth as fast as the April’s for the next four to five years.