This website collects cookies to deliver better user experience. Cookie Policy
Accept
Sign In
The Wall Street Publication
  • Home
  • Trending
  • U.S
  • World
  • Politics
  • Business
    • Business
    • Economy
    • Real Estate
    • Markets
    • Personal Finance
  • Tech
  • Lifestyle
    • Lifestyle
    • Style
    • Arts
  • Health
  • Sports
  • Entertainment
Reading: Omicron Was No Match for the Job Market
Share
The Wall Street PublicationThe Wall Street Publication
Font ResizerAa
Search
  • Home
  • Trending
  • U.S
  • World
  • Politics
  • Business
    • Business
    • Economy
    • Real Estate
    • Markets
    • Personal Finance
  • Tech
  • Lifestyle
    • Lifestyle
    • Style
    • Arts
  • Health
  • Sports
  • Entertainment
Have an existing account? Sign In
Follow US
© 2024 The Wall Street Publication. All Rights Reserved.
The Wall Street Publication > Blog > Markets > Omicron Was No Match for the Job Market
Markets

Omicron Was No Match for the Job Market

Editorial Board Published February 4, 2022
Share
Omicron Was No Match for the Job Market
SHARE

If the labor market can handle Omicron, what can’t it handle?

The Labor Department on Friday reported that the U.S. economy added a seasonally adjusted 467,000 jobs last month—far more than the 150,000 economists were expecting. There were substantial upward revisions, to the tune of 709,000 additional jobs, to the previous two months’ employment tally. The unemployment rate, which is based on a separate survey from the jobs number, rose slightly to 4% from 3.9%.

The January job gain is especially striking given that the midmonth pay period the Labor Department based its employment figures on came precisely when the Omicron-fueled surge in Covid-19 cases was at its worst. People went looking for jobs despite the increase in Covid-19 cases, and they got hired.

Even so, Omicron sure left a mark. The survey of households used to construct the unemployment rate showed that 3.6 million people weren’t able to work because they were ill—far more than at any other month during the pandemic. About half of U.S. workers are paid by the hour, and weeks they don’t get paid they don’t get included in the Labor Department’s job count. If it hadn’t been for Omicron, the employment report would have been even better.

So, what to make of it? To some extent the January job gains might have been magnified by the Labor Department’s seasonal-adjustment process. The holidays generate a lot of temporary employment, so when those stints are over the economy sheds a lot of jobs. The January job numbers get adjusted higher so that they better reflect the jobs trend. The pandemic might be throwing those adjustments out of whack, however, with companies in such dire need of workers that they made a lot of their hires over the holiday period permanent.

Yet that still seems like a reflection of job-market strength. And with Omicron fading, one can only wonder what the February jobs report will look like. Over the past week, there were fewer than half as many new Covid-19 cases recorded by the Centers for Disease Control and Prevention than during the week the January employment figures were based on. More people are well enough to look for work now and, with fewer staff ill, more businesses have the capacity to hire.

For the economy, this is all to the good. U.S. employment is getting closer to the levels it held before the pandemic, and the income boost that is providing to households will help sustain the recovery. For the stock market, though, it is more of a mixed bag. While a strong job market helps fuel demand, it can also intensify wage pressures and wipe away any hesitancy at the Federal Reserve over raising rates.

Still, if the alternative was Omicron knocking the stuffing out of the job market, investors should take it.

The monthly jobs report reveals key indicators about the labor market and the overall state of the economy, but it doesn’t show the entire picture. WSJ explains how to read the report, what it shows and what it doesn’t. Photo illustration: Liz Ornitz

Write to Justin Lahart at [email protected]

Corrections & Amplifications
Newly updated estimates from the Labor Department show a greater share of the population is employed or looking for work, but these had no effect on the increase in the unemployment rate to 4% in January from 3.9% in December, according to the department. An earlier version of this article incorrectly said that they had. (Corrected on Feb. 4)

Copyright ©2022 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8

Appeared in the February 5, 2022, print edition as ‘Omicron Was No Match For the Job Market.’

TAGGED:MarketsPAIDWall Street Publication
Share This Article
Twitter Email Copy Link Print
Previous Article Spike Lee to direct a documentary on Colin Kaepernick Spike Lee to direct a documentary on Colin Kaepernick
Next Article Islamic State Leader Hid Among Families Displaced by War Islamic State Leader Hid Among Families Displaced by War

Editor's Pick

Alyssa Farah Griffin: ‘The View’ Co-Host is Pregnant With Child #1!

Alyssa Farah Griffin: ‘The View’ Co-Host is Pregnant With Child #1!

Studying Time: 3 minutes The View co-host Alyssa Farah Griffin is pregnant! On ‘The View,’ Alyssa Farah Griffin breaks the…

By Editorial Board 3 Min Read
Melissa Rycroft Admits to Actually “Struggling” in Wake of DUI Arrest
Melissa Rycroft Admits to Actually “Struggling” in Wake of DUI Arrest

Studying Time: 3 minutes Melissa Rycroft is in a darkish place proper…

4 Min Read
Amy Duggar Describes Studying Grandfather Was a ‘Predator’
Amy Duggar Describes Studying Grandfather Was a ‘Predator’

Studying Time: 4 minutes Amy Duggar King grew up figuring out and…

6 Min Read

Oponion

Liam Payne: Three Arrests Made in Reference to Singer’s Demise

Liam Payne: Three Arrests Made in Reference to Singer’s Demise

Three individuals have been arrested together with the surprising loss…

November 7, 2024

Kate Middleton Goes BLONDE, Shocks the Universe

Studying Time: 3 minutes Kate Middleton,…

August 25, 2025

Might we be about to witness a seismic political shift in Wales?  | Politics Information

Might the way forward for British…

January 30, 2025

Rubio tells his workers to snitch on ‘anti-Christian’ colleagues

The Trump administration is as soon…

April 14, 2025

Candidates for San Jose District 3 particular election handle residents’ greatest points

With the San Jose District 3…

February 13, 2025

You Might Also Like

Crypto massacre wipes out billions, however indicators of stabilization emerge
Markets

Crypto massacre wipes out billions, however indicators of stabilization emerge

Terry Duffy, CME Group chairman and CEO, weighs in because the cryptocurrency buying and selling platform Coinbase misplaced half its…

4 Min Read
Crypto dealer discovered useless in Lamborghini in Kyiv as market plunges
Markets

Crypto dealer discovered useless in Lamborghini in Kyiv as market plunges

Nexo co-founder and managing companion Antoni Trenchev discusses the cryptocurrency business on ‘Making Money with Charles Payne.’ This story discusses…

3 Min Read
Shares fall as US-China commerce struggle reignites after Trump threatens tariff hike
Markets

Shares fall as US-China commerce struggle reignites after Trump threatens tariff hike

Home Majority Chief Steve Scalise responds to Chuck Schumer’s shutdown feedback, JD Vance’s viral submit and the toll of the…

6 Min Read
Jamie Dimon warns of main market threat in subsequent few years
Markets

Jamie Dimon warns of main market threat in subsequent few years

CPA and market analyst Dan Geltrude joins ‘Mornings with Maria’ to interrupt down the record-setting rally fueled by synthetic intelligence,…

4 Min Read
The Wall Street Publication

About Us

The Wall Street Publication, a distinguished part of the Enspirers News Group, stands as a beacon of excellence in journalism. Committed to delivering unfiltered global news, we pride ourselves on our trusted coverage of Politics, Business, Technology, and more.

Company

  • About Us
  • Newsroom Policies & Standards
  • Diversity & Inclusion
  • Careers
  • Media & Community Relations
  • WP Creative Group
  • Accessibility Statement

Contact

  • Contact Us
  • Contact Customer Care
  • Advertise
  • Licensing & Syndication
  • Request a Correction
  • Contact the Newsroom
  • Send a News Tip
  • Report a Vulnerability

Term of Use

  • Digital Products Terms of Sale
  • Terms of Service
  • Privacy Policy
  • Cookie Settings
  • Submissions & Discussion Policy
  • RSS Terms of Service
  • Ad Choices

© 2024 The Wall Street Publication. All Rights Reserved.

Welcome Back!

Sign in to your account

Lost your password?