US Jobs Growth Craters! June Nonfarm Payrolls Surge Just 57,000 in Sharp Hiring Slowdown

The US hiring pace slowed sharply in June 2026, with nonfarm payrolls increasing by only 57,000 jobs — well below the roughly 110,000 consensus forecast. Economists also saw significant downward revisions to prior months, with May revised to 129,000 from 172,000 and April likewise lowered. Gains were limited mostly to professional and business services, health care, and social assistance, while the leisure and hospitality sector recorded losses.

The unemployment rate edged down to 4.2% as the labor force participation shrank slightly. This softer-than-expected jobs data comes at a critical time for the Federal Reserve as it evaluates monetary policy under new leadership. The weaker figures may reduce immediate pressure for rate hikes and shift attention toward supporting broader economic stability.

Markets will closely watch how policymakers respond to this slowdown in momentum. While some sectors continue showing resilience, the overall softening in hiring highlights challenges facing the economy. The Trump administration’s focus on pro-growth policies will be key as officials work to strengthen the labor market and deliver results for American workers.