US Job Market Defies Slowdown: May Sees 172,000 New Jobs

The US economy showcased its resilience with 172,000 new jobs in May, while unemployment stayed steady at 4.3%. Major gains were seen in leisure, hospitality, and health care sectors, but financial activities faced declines. Long-term unemployment showed an upward trend, and wage growth remained moderate.

The US job market displayed notable strength in May with an addition of 172,000 jobs, keeping the unemployment rate stable at 4.3%, as reported by the Bureau of Labor Statistics (BLS). Despite broader signs of slowing growth, these figures highlight the underlying resilience of the American economy.

However, the job growth was not evenly spread across sectors. Leisure and hospitality led job creation, accounting for 70,000 of the new positions, far surpassing previous monthly averages. Local government and health care also contributed positively, but the financial activities sector saw a decline of 22,000 jobs, continuing a downward trend since mid-2025.

The labor force participation rate stayed constant at 61.8%, with employment-population ratio largely unchanged. Long-term unemployment trended upwards, affecting 2 million individuals, marking a significant annual increase. Meanwhile, wage growth was moderate, with average hourly earnings rising modestly to USD 37.53.