In April, the U.S. economy saw job growth, albeit at a slower rate than the previous month, amid some economic uncertainties regarding tax and trade policies.
The Labor Bureau released figures indicating that employers added 177,000 jobs in April. While this number surpassed economists’ expectations from LSEG, it was a decline from the 228,000 jobs added in March.
The unemployment rate held steady at 4.2%, which aligned with analyst forecasts from LSEG.
Revisions to previous months showed a dip in job gains, with February’s job creation adjusted downward by 15,000 (from 117,000 to 102,000). Likewise, March’s figures were revised down by 43,000, leaving it at 185,000 jobs added instead of 228,000. Combined, the job totals for February and March were 58,000 fewer than earlier reported.
Private sector jobs surged, adding 167,000 positions in April, significantly higher than the estimated 125,000 by LSEG.
Government roles experienced a modest increase with 10,000 new jobs, balancing a loss of 9,000 federal jobs with gains of 6,000 at the state level and 13,000 in local government. The Labor Bureau’s surveys account for employed workers receiving paid leave or retirement benefits.
Manufacturing jobs actually declined, losing 1,000 positions, a smaller drop than the 5,000 expected by economists.
Healthcare jobs grew by 51,000 in April, closely matching the average monthly increase of 52,000 over the past year. This growth was primarily fueled by gains in hospitals (22,000) and outpatient services (21,000).
Transportation and warehouse sectors added 29,000 jobs, with contributions from warehouses and storage (10,000), courier and messenger services (8,000), and air transport (3,000). This sector has generally averaged about 12,000 new jobs monthly over the last year.
Financial activities also saw an increase, adding 14,000 jobs in April, totaling 103,000 for the past year.
The social assistance sector grew as well, albeit at a slower pace, with 8,000 new jobs compared to an average increase of 20,000 over the last year.
Meanwhile, several sectors—including retail, construction, and professional services—reported minimal or no changes this month.
April’s workforce participation rate was recorded at 62.6%, showing little variation since last year.
Notably, the count of long-term unemployed individuals (those out of work for over 27 weeks) rose to 1.7 million, comprising 23.5% of all unemployed individuals.
Additionally, 4.7 million workers remained part-time due to financial constraints, with many wishing for full-time employment but unable to secure it.
Lastly, the number of employers fell by 76,000 in April, marking 5.4% of the workforce.
This is an evolving story. More updates to follow.
