US employers added just 143,000 jobs last month, jobless rate slips to 4%
U.S. employers added just 143,000 jobs last month, but the jobless rate fell to 4% to start 2025 and the government revised November and December payrolls higher
WASHINGTON — U.S. employers added just 143,000 jobs last month, but the jobless rate fell to 4% to start 2025.
The first job report of Donald Trump’s second presidency suggested that he inherited a labor market that is solid but unspectacular. January job creation was down from the 263,000 added in November, and the 307,000 created in December. Economists had expected about 170,000 new jobs in January.
Most Americans still enjoy unusual job security. But for those looking for work, the job hunt has been getting harder as the labor market cools from the red-hot hiring days of 2021-2023.
Average hourly wages rose by 0.5% from December and 4.1% from January 2024, coming in a bit hotter than forecasters had expected – news that might be disappointing to the inflation fighters at the Federal Reserve. The Labor Department also revised payrolls for November and December up by a combined 100,000.
Citing the strong upward revisions from late 2024, Carl Weinberg and Mary Chen of High Frequency Economics wrote that «There is no cause for concern about the strength of the economy in today’s employment report.'' But they added that the decent hiring over the past three months suggested the Fed will be in no hurry to cut interest rates again after cutting three times in 2024.
Healthcare companies added 44,000 jobs, down from a 2024 average of 57,000. Retailers hired 34,000 workers. And government at all levels added 32,000 jobs. Mining companies shed 8,000 jobs.
The future is cloudier.
A federal judge on Thursday temporarily blocked President Donald Trump's plan to push out
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