Hiring slows in US after strong year of job gains

Hiring in the US slowed last month, as firms struggled to hire workers and continued to grapple with the effects of coronavirus.

Employers hired just 199,000 people in December, a second month of weaker than expected gains.

But the jobless rate dropped sharply to 3.9% last month and wages rose, the Labor Department said.

The mixed data, which was collected before Omicron's full force was felt, follows a strong year for jobs growth.

"For a second straight month, we have conflicting pictures emerging," said Mark Hamrick, senior economic analyst at Bankrate.com. "This report appears to reflect the state of play before the worst impacts of the Omicron variant hit the economy."

"We will have to wait until the following report, covering the job market picture in January, to get a clearer picture," he added.