American employers increased their workforce by 303,000 people in March, bringing the unemployment rate down to 3.8%. However, the media and entertainment sectors did not experience the same growth.
Employment in the motion picture and sound recording fields dropped by 2,600 to 438,400 in the past month, down from 441,000 in February, according to the federal Bureau of Labor Statistics. This information was announced by the Bureau of Labor Statistics on Friday.While still higher than the 422,900 jobs reported in this area a year ago, this decrease marks a change from the consistent hiring trend seen since the end of the Hollywood strikes. However, this decline is much less than the 45,000 jobs lost due to the strikes. The number of jobs in broadcasting and content providers also fell by 2,300 to 341,500. This is a reversal of the small increase in February and a decrease of 9,900 from a year ago.
There was also a small decrease of 500 jobs in the broader category of “web search portals, libraries, archives and other information services.” The broader sector of “arts, entertainment and recreation,” which includes spectator sports and performing arts, did see an increase, adding 17,500 jobs to a total of 2,647,300. This could be partially due to the beginning of the baseball season and the reopening of Major League Baseball stadiums and other warm-weather venues.While no major layoffs were announced in March, these declines are likely a consequence of the aftermath of a severe wave of media cuts in January and a round of layoffs at a specific company in February, as well as cutbacks at studios and other cost-cutting measures as media and entertainment companies face various challenges, including declining ad revenues, decreased website traffic referrals, and consumer confusion due to the complicated streaming landscape.
Despite the struggles in the information and entertainment sectors, the rest of the economy seems to be doing well. The jobs added last month surpassed the economists’ forecast of 200,000, according to The Associated Press.
The robust growth reflects the economy’s ability to withstand the high cost of borrowing and persistent inflation, as mentioned in The Associated Press report.
The unemployment rate also decreased slightly, reaching 3.8% in March from 3.9% in February. This marks the 26th consecutive month with a rate below 4%, which The AP identified as the longest such streak since the 1960s. Even with the addition of 303,000 jobs to the U.S. labor force last month, there were declines in the entertainment and media industries. and a round of layoffs at Paramount in February, along with cutbacks at studios and other cost-cutting measures as media and entertainment companies face a variety of challenges, including declining ad revenues, fewer website traffic referrals and consumer confusion amid the messy streaming environment.
But while the information and entertainment industries struggle, the rest of the economy appears to be largely purring along. The jobs added last month came in well ahead of the 200,000 forecast by economists, The Associated Press reported. The robust growth appears to reflect the economy’s ability to withstand the high cost of borrowing and nagging inflation.
The unemployment rate also dropped a fraction, to 3.8% in March from 3.9% in February. The rate has now been below 4% for 26 straight months, which The AP labeled the longest such streak since the 1960s.
