US Jobs Report Misses Forecast With 57,000 Positions Added in June

The US labor market added 57,000 jobs in June, falling short of the 113,000 forecast by economists surveyed by Bloomberg, according to data released by the Labor Department. The unemployment rate declined to 4.2%, its lowest level in a year, down from 4.3% in prior months. The slower hiring pace was attributed to weaker-than-usual seasonal hiring, particularly in the leisure and hospitality sector, which lost 61,000 jobs during the month.

Leisure and Hospitality Sector Lost 61,000 Jobs in June

The leisure and hospitality sector recorded the largest employment decline in June, losing 61,000 jobs. The Labor Department attributed the decline to weaker-than-usual seasonal hiring, marking a sharp reversal from May. Other sectors offset these losses, with professional and business services, social assistance, and healthcare all posting employment increases during the month. The data indicates that healthcare hiring, which has been a consistent source of job growth in recent years, is beginning to slow.

Labor Department Revised April-May Payrolls Down by 74,000 Jobs

The Labor Department revised combined payroll gains for April and May lower by 74,000 jobs. The downward revisions indicate that hiring during those months was weaker than initially reported. The revisions demonstrate that the labor market has been losing momentum over the past several months rather than maintaining the stronger pace suggested by earlier estimates.

Labor Force Participation Rate Declined to 61.5%

The labor force participation rate declined to 61.5% in June. The participation rate measures the share of the population that is either employed or actively looking for work. The lower reading indicates that fewer people are participating in the labor market.

FAQ

How many jobs did the US economy add in June? The US economy added 57,000 jobs in June, according to data released by the Labor Department. This figure was well below the 113,000 increase forecast by economists surveyed by Bloomberg.

What was the US unemployment rate in June? The unemployment rate declined to 4.2% in June, its lowest level in a year. The rate had stood at 4.3% for the previous four months.

Which sector lost the most jobs in June? The leisure and hospitality sector lost 61,000 jobs in June. The Labor Department attributed the decline to weaker-than-usual seasonal hiring, which was a sharp reversal from May.