According to the Labor Department, U.S. employers added 177,000 jobs in April, with the unemployment rate holding steady at 4.2%. This news came despite predictions of a slowdown in the labor market following President Trump’s announcement regarding tariffs.
Experts had anticipated the addition of 130,000 jobs while expecting a change in the unemployment rate. Revisions for March showed a drop from 228,000 to 185,000 jobs.
The private sector was responsible for most of the growth, adding 167,000 jobs, which surpassed expectations of around 125,000 additions. Interestingly, the reported 170,000 jobs added in March weren’t revised down.
In April, the labor market drew in more workers, resulting in an increase in the workforce participation rate, which climbed slightly to 62.6% from 62.5% the month before. The total number of employed individuals rose to approximately 163.9 million.
Moreover, the average workweek ticked up from 34.2 hours to 34.3, suggesting that employers were indeed seeking more labor. Average hourly earnings increased by 0.3%, and over the past year, they have grown by 3.8%, outpacing the 2.4% rise in the consumer price index up to March.
In the manufacturing sector, there was a slight job cut of 1,000, which was less than the expected loss of 3,000. On the other hand, manufacturers of durable goods added 2,000 jobs, recovering from a decline in the previous month. Fields like machinery and woodworking saw strong performance, while sectors such as semiconductors and communications equipment contributed significantly as well. Previous job additions were revised from an increase of 1,000 to 3,000.
The construction industry saw a robust addition of 11,000 jobs, including 9,000 in specialized roles. Meanwhile, the transportation and warehousing sector, often viewed as vulnerable to potential tariff impacts, added 29,000 jobs, marking the strongest growth in that area since December.
Additionally, changes reflecting Elon Musk’s focus on government efficiency and the Trump administration’s attempts to “revamp” the economy were noted, with a reduction of 9,000 federal jobs. Since Trump took office in January, 26,000 federal positions have been eliminated.
