U.S. House panel approves $36.5 billion for hurricane, wildfire relief

The U.S. Capitol Building is lit at sunset in Washington, U.S., December 20, 2016. REUTERS/Joshua Roberts

WASHINGTON (Reuters) – The U.S. House of Representatives’ Appropriations Committee has approved $36.5 billion in emergency funding for relief and recovery from the recent devastating hurricanes and wildfires, a spokeswoman for the committee’s chairman said late on Tuesday.

The bill includes $7 billion more funding than the White House had sought last week, and included nearly $6 billion more for the Federal Emergency Management Agency (FEMA) than the administration’s request.

The committee’s bill also includes $576.6 million for wildfire efforts, $16 billion for the National Flood Insurance program, and a provision enabling low-income Puerto Ricans to receive emergency nutrition assistance, said Jennifer Hing, spokeswoman for Representative Rodney Frelinghuysen, the committee chairman.

It was not immediately clear when the bill would move to the floor to be voted on by the entire House.

The United States has been battered by a series of hurricanes in the Caribbean, Texas and Florida and wildfires in California.

President Donald Trump has also asked Congress to approve a $4.9 billion government loan to help Puerto Rico pay some of its bills in the wake of Hurricanes Irma and Maria.

(Reporting by Richard Cowan; Writing by Makini Brice; Editing by Jeffrey Benkoe)

In the mountains of Puerto Rico, hurricane recovery is slower

In the mountains of Puerto Rico, hurricane recovery is slower

By Hugh Bronstein

TRUJILLO ALTO, Puerto Rico (Reuters) – In the lowlands of Trujillo Alto, a sprawling suburb of San Juan, clean water once again flows in the homes of most residents. But in the mountainous part of the city, which is largely poor and semi-rural, finding clean water remains a daily struggle.

Across Puerto Rico, officials say, altitude matters. While workers are making steady progress restoring power and running water to coastal regions, where the territory’s largest cities are located, the mountainous regions at the island’s center are proving challenging.

“Are people in the mountains in a worse situation than urban people? Of course,” said Puerto Rico’s minister of public policy, Ramon Rosario, “because they are more distant from the power generators on the coasts.” Without electricity, he noted, the pumps that carry water up into the mountains can’t operate or must rely on generators.

A mix of Puerto Ricans live in the “Cordillera Central,” or central range of Puerto Rico, which is far more sparsely populated than coastal regions. Many residents are poor, living in rural, agrarian-based communities. But the region also has wealthy residents seeking the cooler temperatures and beauty of the cordillera.

In Trujillo Alto, a community of 85,000 that sits partly on flat land but also extends into the mountains, hurricane recovery varies sharply by altitude.

Lydia Perez Molina, 72, still relies on government-provided food and water in her mountain-top home, where she weathered hours of howling winds and hammer-blow rains during the Sept. 20 storm.

“Water came in through the window and the wind was like a monster,” Perez Molina said.

Now, she said, tears welling up in her eyes, her son spends his time “searching and struggling to bring us what we need. He’s standing in line for water at one place and for food at another.”

Debris is seen outside a home damaged by Hurricane Maria is seen in the Trujillo Alto municipality outside San Juan, Puerto Rico, October 9, 2017. REUTERS/Shannon Stapleton

Debris is seen outside a home damaged by Hurricane Maria is seen in the Trujillo Alto municipality outside San Juan, Puerto Rico, October 9, 2017. REUTERS/Shannon Stapleton

On Monday, Lourdes Zayas, president of the Trujillo Alto town council, gathered with dozens of other volunteers in the municipality’s basketball gym to put together care packages of rice, beans, milk and other basic foods that are trucked out several times a day to hard-hit parts of town.

“We can keep supplying food and drinking water as long as we need to,” Zayas said. “As for the electricity, who knows.”

Trujillo Alto Mayor Jose Luis Cruz said 70 percent of the richer, low-lying parts of town now have steady supplies of water, but there is no electricity to pump water up to the poorer parts of the municipality.

Moving heavy trucks and machinery into mountain areas to clear hazards and restore electrical lines is proving difficult, too, said a civilian employee of the Army Corps of Engineers, who was deployed to Puerto Rico to work on restoring the electrical grid.

He said he was sent to Florida after Hurricane Irma to work on restoring power, but that the two situations were starkly different.

“Irma was a repair job,” he said, asking that his name not be used as he was not authorized to speak to the press. “This is a rebuild.”

(Reporting by Hugh Bronstein; Editing by Sue Horton)

Weakening Nate brings rain, tornado warnings to U.S. South

Weakening Nate brings rain, tornado warnings to U.S. South

By Rod Nickel and Jessica Resnick-Ault

BILOXI/PASCAGOULA, Miss. (Reuters) – Hurricane Nate weakened to a tropical depression on Sunday after coming ashore in Mississippi, flooding roads and buildings but sparing the state from catastrophic damages.

Maximum sustained winds from Nate, the fourth major storm to hit the United States in less than two months, dropped to 35 miles per hour (55 km per hour) as it moved through Alabama and into Tennessee.

The remnants of the storm spawned tornado warnings in those states and the western portions of North Carolina and South Carolina. It is forecast to bring gusty winds and up to 4 inches (10 cm) of rain to parts of Ohio, Pennsylvania and New York on Monday.

The storm made landfall as a Category 1 hurricane, the weakest designation by the U.S. National Hurricane Center. Only a few hours earlier, its winds had been blowing at 70 mph (113 kph) but appeared to lack the devastating punch of its recent predecessors.

Mississippi Governor Phil Bryant told reporters there had been no deaths or reports of catastrophic damage. “We are very fortunate this morning and have been blessed,” he said.

Nate killed at least 30 people in Central America before entering the warm waters of the Gulf of Mexico and bearing down on the U.S. South. It has also shut down most oil and gas production in the Gulf.

Nate follows hurricanes Harvey, Irma and Maria, which have devastated areas of the Caribbean and southern United States.

The tropical depression’s center will move up through Alabama into Tennessee and Kentucky through Monday, the hurricane center said. Heavy rainfall and storm-surge flooding remained a danger across the region, and the hurricane center said Florida’s Panhandle and parts of Alabama and Georgia might feel tropical storm-force wind gusts.

The storm was expected to bring three to six inches of rain to parts of western North Carolina through midday Monday, with up to 10 inches possible in isolated spots. Power outages, damaged homes and roads closed by debris were all reported in the region.

Nate made its first U.S. landfall on Saturday evening near the mouth of the Mississippi River and then made a second one early on Sunday near Biloxi, Mississippi.

In Biloxi, water surged over roads during the storm and quickly receded on Sunday, leaving a boat that broke loose marooned on the beach. At a Waffle House restaurant, the storm surge deposited a dumpster in its parking lot.

Jeff Pickich, a 46-year-old wine salesman from D’Iberville, Mississippi, was counting his blessings. Heavy winds left only minor damage, blowing down part of a fence on his rental property in Biloxi.

“I’m just glad,” he said, digging fresh holes for fence posts. “I was afraid of the water. The water is Mother Nature. You can’t stop it.”

Water flowed through Ursula Staten’s yard in Biloxi, pushing over part of her fence and scattering debris, but did not breach her house.

“I have a mess,” the retired massage therapist said. “If we had got Irma, I would have lost everything.”

At the Golden Nugget Casino, one of eight Biloxi gaming establishments, workers rushed to clean up mud, debris and minor damage from 3 feet (1 m) of water sloshing into an entrance and the parkade. The gaming room stayed dry.

Three hundred guests remained in the hotel, some eager to try their luck after surviving Nate.

But dangers from the storm remain, with Florida Governor Rick Scott warning of tornadoes springing up in the Panhandle region and Alabama Governor Kay Ivey urging residents to prepare for strong winds and storm surges.

U.S. President Donald Trump declared federal emergencies in Alabama and Florida on Sunday, which provides additional funding for disaster relief.

Mississippi Power had restored electricity to 10,000 customers, but 4,800 were still without it. More than 1,000 people had arrived at shelters, the state Emergency Management Agency said.

Alabama Power said it had restored electricity to 58,000 of 146,000 customers who lost it.

Rainfall of 3 to 6 inches (8 to 15 cm), with a maximum of 10 inches (25 cm), was expected east of the Mississippi River in Alabama and Tennessee, the hurricane center said.

NEW ORLEANS THREAT DOWNGRADED

Forecast at one point to make landfall in Louisiana, Nate headed farther east and spared many New Orleans parishes that were devastated by Hurricane Katrina 12 years ago.

“I had prayed for this – that we would be spared,” said Amos Cormier, president of Plaquemines Parish, Louisiana’s equivalent to a county.

Bernice Barthelemy, a 70-year-old Louisiana resident, died from cardiac arrest overnight after telling Reuters on Saturday that she did not mind having to evacuate, Cormier said on Sunday. He attributed her death to the stress of the move.

New Orleans Mayor Mitch Landrieu said he expected that evacuated residents could return home soon.

Vessel traffic and port operations at New Orleans resumed on Sunday afternoon, while the Port of Mobile in Alabama remained closed. Oil ports, producers and refiners in Louisiana, Mississippi and Alabama were planning reopenings as the storm moved inland on Sunday.

The storm curtailed 92 percent of daily oil production and 77 percent of daily natural gas output in the Gulf of Mexico, more than three times the amount affected by Harvey.

The storm doused Central America with heavy rains on Thursday, killing at least 16 people in Nicaragua, 10 in Costa Rica, two in Honduras and two in El Salvador.

(Reporting by Rod Nickel in Biloxi, Miss. and Jessica Resnick-Ault in Pascagoula, Miss.; Additional reporting by Marianna Parraga, Erwin Seba and Gary McWilliams in Houston; Jonathan Allen in New York; Writing by Lisa Shumaker; Editing by Lisa Von Ahn and Peter Cooney)

Puerto Rico governor: ‘hell to pay’ over water, food deliveries

The contents of a damaged home can be seen near the town of Comerio.

WASHINGTON (Reuters) – Puerto Rico Governor Ricardo Rossello said on Monday he ordered an investigation of water distribution on the hurricane-battered island and warned that there would be “hell to pay” for mishandling of the supplies.

In an interview with CNN, Rossello said drinking water supplies have been restored to roughly 60 percent of the island but some areas in the north remained at only 20 percent nearly three weeks after Hurricane Maria hit the U.S. territory.

“We’re delivering food to all of the municipalities, and water,” he said. “There were complaints that that water in some places was not getting to the people so I ordered a full investigation.”

The distribution of supplies including food, water and fuel has been a major challenge for the struggling government after Maria wiped out its power grid, flooded roads and crippled the communications system.

Luis Menendez, a mail man for the U.S. Postal Service, delivers mail at an area affected by Hurricane Maria in the island of Vieques, Puerto Rico, October 7, 2017

Luis Menendez, a mail man for the U.S. Postal Service, delivers mail at an area affected by Hurricane Maria in the island of Vieques, Puerto Rico, October 7, 2017. Picture Taken October 7, 2017. REUTERS/Carlos Barria

“If there is a place, a locality that is not delivering food to the people of Puerto Rico that need it, there’s going to be some hell to pay,” Rossello said.

He said the government was trying to identify problems in the distribution pipeline, looking to ensure that local leaders deliver resources to the Puerto Rican people as soon as they arrives in the municipality.

“I think that there are places where water is being withheld and food is being withheld,” Rossello said. “We need to showcase it, we need to push it forward to the people.”

Three weeks after the storm hit, Puerto Rico still has a long road to recovery, having only 15 percent of electrical power restored and struggling to regain communication services. The White House has asked Congress for $29 billion in hurricane relief for Puerto Rico, Texas and Florida.

 

(Reporting by Doina Chiacu; Editing by Bill Trott)

 

Hurricane Nate threatens U.S. central Gulf Coast after killing 25

Heavy machinery is used to remove mud from a highway that connects with the south of the country collapsed by Storm Nate in Casa Mata, Costa Rica October 6, 2017. REUTERS/Juan Carlos Ulate

By Oswaldo Rivas

MANAGUA (Reuters) – Hurricane Nate may strengthen on Saturday, threatening to hit the U.S. central Gulf Coast with strong winds and storm surges after it killed at least 25 people in Central America.

New Orleans evacuated some residents from areas outside its levee system as Nate, a Category 1 hurricane, the weakest on a five-category scale used by meteorologists, churned towards the central Gulf of Mexico.

“Nate is at our doorstep or will be soon,” New Orleans Mayor Mitch Landrieu said, adding that the winds could cause significant power outages, and storm surges are projected to be six to nine feet (1.8 to 2.7 meters) high.

“We have been through this many, many times. There is no need to panic,” Landrieu told a news conference.

The storm brushed by Mexico’s Yucatan peninsula, home to beach resorts such as Cancun and Playa del Carmen, as it headed north, the U.S. National Hurricane Center in Miami said.

With maximum sustained winds of 80 miles per hour (130 kmh), Nate was about 345 miles (550 km) south-southeast of the Mississippi river and expected to strengthen before it makes landfall, the NHC said.

A state of emergency was declared for 29 Florida counties and states – Alabama, Louisiana and Mississippi – as well as the New Orleans, which was devastated by Hurricane Katrina in 2005.

The NHC issued a hurricane watch from Grand Isle, Louisiana to the Alabama-Florida border.

“By Saturday noon you should be in your safe place,” Alabama Governor Kay Ivey told a news conference. “This is a fast-moving storm and we must begin preparing now.”

Nearly three-quarters of U.S. Gulf of Mexico oil production was offline ahead of the storm, and more oil companies halted operations on Friday.

On Saturday morning, Nate was moving north-northwest at 22 miles per hour (35 kmh), a fast pace which if maintained could mean the storm does less damage when it hits land.

CENTRAL AMERICA DEATHS

The storm doused Central America with heavy rains on Thursday, killing at least 12 people in Nicaragua, nine in Costa Rica, two in Honduras and two in El Salvador.

Thousands were forced to evacuate their homes and Costa Rica’s government declared a state of emergency.

Costa Rican President Luis Guillermo Solis urged residents to remain vigilant, noting rains would likely resume.

In Honduras, residents wondered whether they would have to flee. Norma Chavez and her two children anxiously watched a river rise outside their home in Tegucigalpa, the capital.

“We are worried that it will grow more and carry away the house,” said Chavez, 45.

Through Monday, Nate is expected to produce two to four inches (5 to 10 cm) more rain in eastern Yucatan and western Cuba and three to six inches (8 to 15 inches) in the U.S. central Gulf Coast.

About 71 percent of U.S. Gulf of Mexico oil production and 53 percent of natural gas output is offline ahead of Nate’s arrival, the U.S. Department of the Interior’s Bureau of Safety and Environmental Enforcement (BSEE) said on Friday.

Oil companies have evacuated staff from 66 platforms and five drilling rigs, it said. Oil production equaling 1.24 million barrels of crude per day is offline, according to BSEE.

(Reporting by Brendan O’Brien in Milwaukee; editing by Alexander Smith)

In Puerto Rico, lives depend on volunteer doctors and diesel generators

In Puerto Rico, lives depend on volunteer doctors and diesel generators

By Robin Respaut and Nick Brown

OROCOVIS, Puerto Rico (Reuters) – At a community center in Orocovis, an isolated agricultural town of 23,000 in the mountains of central Puerto Rico, six oxygen-dependent patients drew breath with the help of the diesel generator powering their equipment.

Then the generator sputtered as if it might die.

A dozen volunteer doctors and medical students from San Juan started assessing which patient should be transported first – in the town’s only ambulance – to a hospital an hour away, and which could survive without oxygen for a short time.

Javier Sevilla Rodriguez, a medical student, had only one way to make the agonizing decisions. He removed one woman’s oxygen tube, watching carefully to see how her blood-oxygen level responded.

“This is how we are doing triage right now,” he said.

Two weeks after hurricane Maria, many of Puerto Rico’s sick, frail and elderly are teetering on the edge, one faulty generator away from missing dialysis treatments or having critical medications go bad.

With nearly the entire island still lacking electricity, hospitals, clinics, and shelters are operating on aging generators not intended for long-term use and powered by scarce diesel fuel. Water is still not available for nearly half the population and supplies of medicines and oxygen are running low.

And residents still can’t call for help across vast swaths of the island because of widespread cellular network outages.

Many regions in the interior of the island, like this one, are only now seeing relief efforts, amid a plodding U.S. disaster response to this island of 3.4 million American citizens. The U.S. territory’s battered economy and infrastructure has magnified the humanitarian crisis wrought by the strongest hurricane to hit here in nine decades.

In Orocovis, even the sickest patients have gone largely without medical care since the storm. So the doctors worked quickly throughout the day, conferring with caregivers and writing prescriptions they would take back to San Juan to fill and then dispatch by messenger.

Now at the community center, their last stop before leaving town, time ran out.

With a loud clunk, the sounds of humming oxygen machines stopped and were replaced by a chorus of beeps and chirps warning that power had been cut.

The generator had failed.

A CALL FOR DOCTORS

The medical convoy that visited Orocovis is an entirely volunteer operation, organized by physician Carlos Mellado. After Maria hit Puerto Rico on September 20, blocking roads and crippling power and communications networks, Mellado asked other doctors at his clinic to cover for him and threw himself into hurricane relief work.

On the first day, he headed to Canovanas, east of the capital, checking on people at shelters. He promised to fill many patients’ prescriptions and send back the medications.

The next day, he went to Vieques, an island off Puerto Rico’s eastern coast, and found diabetics without insulin, heart patients under extreme stress and crucial treatments interrupted by power outages.

When Mellado returned to San Juan, he stopped by the local radio station, which in the days after the storm, had become a trusted source of information for Puerto Ricans living without communications. Invited to speak to listeners, he called for other physicians willing to join him.

Now, Mellado has a core group of 18 physicians, who rotate between the trips and their own practices, and a growing list of more doctors who want to join. Each morning, he takes out a paper map of the island covered with notes about where he’s been. The doctors pick a town and go.

The convoys have no official ties, but Mellado reports each evening on what the doctors found to Puerto Rican and federal officials in San Juan. Sometimes Puerto Rico’s housing department coordinates deliveries of the drugs back to the towns, and a pharmacy chain donates medications for patients without insurance.

The government’s death count from the storm more than doubled this week to 36. But doctors across the island believe the total would be far higher if it included people with chronic conditions who died because they lacked access to medical care.

“For these critically ill patients, if everything fails, they don’t have too much time,” said Humberto Guzman, a pediatric orthopedic surgeon and member of the medical convoy. “People are dying.”

‘WE CANNOT WAIT’

In Orocovis, after the generator failed, the doctors looked for a quick fix. Guzman ran up the street to the town’s shuttered urgent care facility.

There, he found a half-dozen oxygen tanks that locals said had been delivered the day before. Each could provide about a day’s worth of oxygen to a patient.

The tanks were quickly moved to the community center, where the doctors taught family members to use them. But before that became necessary, the generator sprang back to life.

The doctors packed up to leave, assuring patients’ families that they could switch to the tanks if the generator failed again.

“In every town right now, there are moments like this happening,” Guzman said. “That’s why you need people like us to just go. We cannot wait.”

(This version of the story corrects to fix pronoun in paragraph 4 and change “country” to “island” in paragraph 7)

(Reporting by Robin Respaut and Nick Brown; Editing by Sue Horton and Brian Thevenot)

Old San Juan shows its resilience after Puerto Rico hurricane

Jesus Santos sings operatic love songs while repairing plaster to a Hurricane Maria damaged facade at Cathedral of San Juan Bautista in San Juan, Puerto Rico on October 4, 2017. Picture taken on October 4, 2017. REUTERS/Hugh Bronstein

By Hugh Bronstein and Gabriel Stargardter

SAN JUAN (Reuters) – High atop the Cathedral of San Juan Bautista, Jesus Santos applied plaster to the building’s damaged facade, all the while belting out operatic love songs that echoed through Old San Juan’s eerily empty streets.

The city’s colonial heart is usually noisy and bustling with life but on Wednesday Santos’ booming voice was the dominant sound. Since Hurricane Maria struck Puerto Rico, cutting off power and communications to much of the island, tourism has come to a near halt, and Old San Juan’s restaurants, bars and clubs have been hit hard.

The old city’s historic luxury hotel, El Convento, remains full, its staff said, thanks to dozens of U.S. federal employees sent in after the storm. But it is unclear how long they will stay and who will replace them once they leave.

Yadiel Martinez, 24, a supervisor at the hotel, said local tourism was just starting to recover from a difficult 2016 when the Zika virus outbreak led to thousands of cancellations.

Now, with Maria striking just before the high season begins in October, the tourism industry is taking another hit. Like many other hotels in the city, El Convento still does not have consistent water and electricity, Martinez said, and bookings are being canceled.

Compounding a bad situation, the bankrupt island is still struggling to get past a decade-long recession and a $72 billion debt crisis. It needs all the tourist revenue it can get.

“This is going to hit us very hard,” Martinez said, noting that El Convento would likely be affected for months but was not in as dire straits as many tourist-dependent businesses.

“Lots of hotels are going to close,” he predicted.

In Nono’s, a popular bar in Old San Juan, some Puerto Ricans were doing their bit to reactivate the local economy.

‘FORCED VACATION’

Nursing a Bud Light with a Fireball-and-horchata chaser, 37-year-old Brenda Ansa said she was on “forced vacation” from work in the wake of the hurricane.

With her dentist husband attending to an emergency, she said, she decided to come see how the old town had fared over a pre-lunch drink. She was surprised at the absence of people.

“This is like a ghost town,” she said.

Still, in some ways, Old San Juan is one of the city’s bright spots.

While the area sustained damage to roofs, windows and vegetation, most of the sturdy buildings in the historic neighborhood, a UNESCO World Heritage Site, came through the storm without major damage.

The old town’s fortified walls were built by the Spanish after the city was founded in 1508 by Ponce de Leon, and the cathedral where Santos, the singing plasterer, was working has survived 496 hurricane seasons.

Santos, 47, said his fellow workers in the old city appreciate his songs in the aftermath of the storm, especially one of the Cathedral’s priests.

“When I stop, he comes out and complains,” Santos said with a grin, before launching into another full-throated ballad.

Carlos Hernandez, 62, a refuse collector, was optimistic about the long-term future of the old city, even as he swept up debris from the storm.

“Tourism has gone to zero. Those who are here are residents and it’s up to us to do the cleanup,” he said with a wide, toothless smile.

But “I am a Boricua,” he said, employing a phrase islanders use to describe themselves. “And to keep a Boricua down, you have to hit him hard – and I mean hard!”

(Reporting by Hugh Bronstein and Gabriel Stargardter; Editing by Sue Horton and Bill Trott)

Hurricanes Harvey, Irma sink U.S. payrolls in September

FILE PHOTO: Brochures are displayed for job seekers at the Construction Careers Now! hiring event in Denver, Colorado U.S. August 2, 2017. REUTERS/Rick Wilking

By Lucia Mutikani

WASHINGTON (Reuters) – U.S. employment fell in September for the first time in seven years as Hurricanes Harvey and Irma left displaced workers temporarily unemployed and delayed hiring, the latest indication that the storms undercut economic activity in the third quarter.

The Labor Department said on Friday nonfarm payrolls decreased by 33,000 jobs last month amid a record drop in employment in the leisure and hospitality sector.

The decline in payrolls was the first since September 2010. The Department said its analysis suggested that the net effect of Harvey and Irma, which wreaked havoc in Texas and Florida in late August and early September, was to “reduce the estimate of total nonfarm payroll employment for September.”

Economists had forecast payrolls increasing by 90,000 jobs last month. Payrolls are calculated from a survey of employers, which treats any worker who was not paid for any part of the pay period that includes the 12th of the month as unemployed.

Many of the dislocated people will probably return to work. That, together with rebuilding and clean-up is expected to boost job growth in the coming months. Leisure and hospitality payrolls dived 111,000, the most since records started in 1939, after being unchanged in August.

There were also decreases in retail and manufacturing employment last month. Stripping out the effects of the hurricanes, the labor market remains strong. The government revised data for August to show 169,000 jobs created that month instead of the previously reported 156,000.

Harvey and Irma did not have an impact on the unemployment rate, which fell two-tenths of a percentage point to 4.2 percent, the lowest since February 2001. The smaller survey of households from which the jobless rate is derived treats a person as employed regardless of whether they missed work during the reference week and were unpaid as result.

The decrease in the unemployment rate reflected an increase in household employment. It also came despite more people entering the labor force.

The dollar rose against a basket of currencies after the data, while prices for U.S. Treasuries fell. U.S. stock index futures were trading lower.

DISRUPTIONS BOOST WAGES

Underscoring the disruptive impact of the hurricanes, the household survey showed 1.5 million people stayed at home in September because of the bad weather, the most since January 1996. About 2.9 million people worked part-time, the largest number since February 2014.

The length of the average workweek was unchanged at 34.4 hours. With the hurricane-driven temporary unemployment concentrated in low-paying industries like retail and leisure and hospitality, average hourly earnings increased 12 cents or 0.5 percent in September after rising 0.2 percent in August.

That pushed the annual increase in wages to 2.9 percent, the largest gain since December 2016, from 2.7 percent in August. Annual wage growth of at least 3.0 percent is need to raise inflation to the Fed’s 2 percent target, analysts say

The mixed employment report should not change views the Federal Reserve will raise interest rates in December. Fed Chair Janet Yellen cautioned last month that the hurricanes could “substantially” weigh on September job growth, but expected the effects would “unwind relatively quickly.”

The U.S. central bank said last month it expected “labor market conditions will strengthen somewhat further.” The Fed left interest rates unchanged in September, but signaled it expected one more hike by the end of the year. It has increased borrowing costs twice this year.

The employment report added to August consumer spending, industrial production, homebuilding and home sales data in suggesting that the hurricanes will dent economic growth in the third quarter.

Economists estimate that the back-to-back storms, including Hurricane Maria which destroyed infrastructure in Puerto Rico last month, could shave at least six-tenths of a percentage point from third-quarter gross domestic product.

Growth estimates for the July-September period are as low as a 1.8 percent annualized rate. The economy grew at a 3.1 percent rate in the second quarter.

Private payrolls fell by 40,000 jobs, the biggest drop since February 2010. Manufacturing employment slipped by 1,000 jobs pulled down by declines at motor vehicle assembly and chemical plants as well as textile mills.

Retail employment fell by 2,900 jobs as food stores payrolls tumbled 6,900. There were also declines in employment at department stores. Construction payrolls rose 8,000 in September as a 3,900 drop in jobs at homebuilding sites was offset by increases elsewhere.

(Reporting by Lucia Mutikani; Editing by Andrea Ricci)