September Job Increase Expected to Be 150,000

U.S. employers probably added 150,000 jobs in September and the unemployment rate held at 5.4%, the lowest in almost three years, according to a survey of economists. The Labor Department issues its report Friday, less than a month before the presidential election.

More jobs would have been added if hurricanes hadn’t struck the Southeast, economists said. Henry Willmore at Barclays Capital Inc. said Hurricane Ivan, which hit Sept. 16, shaved as many as 30,000 jobs from last month’s figures. Even so, the projected increase for September is higher than the number of positions added in August -- 144,000.

Payrolls began to recover in August from a midyear lull. Employers added on average about 225,000 positions each month from January through May, and fewer than 100,000 in June and July. A sustained rebound in hiring is necessary for the economy to gather momentum, economists said.

“Corporate chieftains are still cautious with respect to new hiring,” Richard Yamarone, chief economist at Argus Research Corp. in New York, said. “They’re challenged by skyrocketing health and benefit costs. You throw in energy and it doesn’t help the situation either, making it difficult to expect economic growth to rise by any impressive pace.”