The unemployment dropped primarily because U.S. workers had dropped out of the labor force.
The Department of Labor only counts people who have searched for a job during the last four weeks as officially unemployed.
Economists were only expecting job gains between 90,000-100,000 in nonfarm payrolls along with an unchanging unemployment rate at 7.9 percent,
According to the Department of Labor, 52,600 jobs came from retailers, likely the result of holiday hiring.
The construction sector cut 20,000 jobs,
Professional business services hired 43,000 workers in November.
Health care added 20,000 jobs.
Manufacturers cut 7,000 jobs, the majority of which came from food manufacturing from companies such as Hostess.
Continued Political Impasse On Fiscal Cliff
House Speaker John Boehner (R-Ohio) told reporters today on Capitol Hill that he had no progress to report and concerning the fiscal cliff, “the White House has wasted another week.”
Speaker Boehner said that four days ago he offered a serious budget proposal and since then they have received no counteroffer from the White House.
“Instead reports indicate that the President has adopted a deliberate strategy to slow walk our economy right to the edge of the fiscal cliff” Boehner said.
Trillion Dollar Deficit
Speaker Boehner said that Washington has got a spending problem, not a revenue problem.
“But even if the President got the tax rate hike that he wanted, understand that we would continue to see trillion dollar deficits for as far as the eye can see.”
Speaker Boehner encouraged the White House to offer a budget plan that can pass both chambers of Congress.
President Obama has already signed bills that will reduce spending by $1.5 trillion over the next 10 years while supporting a balanced approach to deficit reduction that includes both tax increases and spending cuts.