August 2025 Jobs Report: Employers Add 22,000 Jobs

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The Bureau of Labor Statistics (BLS) reports that U.S. employers expanded payrolls by 22,000 jobs last month, coming in well below economists’ expectations of 75,000 jobs.

The August jobs report also notes that the U.S. economy saw 21,000 fewer jobs added than previously reported for June and July combined.

Together, these results reinforce the cooling trend in the labor market that has emerged in recent months.

Healthcare industry led job growth in August

Employers in education and health services added 46,800 jobs last month, according to the BLS. Other industries that saw job gains in August include:

Leisure and hospitality: 28,000 jobs added

Retail trade: 10,500 jobs added

Transportation and warehousing: 3,600 jobs added

Industries that experienced payroll contraction include professional and business services (-17,000 jobs), government (-16,000 jobs), manufacturing (-12,000 jobs), and wholesale trade (-11,700 jobs).

Unemployment rate rises to 4.3%

The national unemployment rate was 4.3% in August, up slightly from 4.2% reported in July.

The unemployment rate for college-degreed workers held steady at 2.7%. These professionals are the most highly sought-after workers by many employers.

Job openings decline, while hiring cycles lengthen

Robert Half’s research shows that hiring plans among U.S. companies have moderated: 57% of managers said they plan to expand their teams in the second half of the year, down from 63% six months ago.

Employers’ more measured approach to payroll expansion is reflected in the latest Job Openings and Labor Turnover Survey (JOLTS) report from the BLS, which shows there were 7.2 million open roles in the United States at the end of July. In June, that figure was 7.4 million—down from 7.8 million in May.

Meanwhile, companies expanding payrolls are struggling to meet their hiring goals. In a recent Robert Half survey, 92% of hiring managers said it’s difficult to secure skilled talent. That same survey found that 93% of employers are seeing the hiring process take longer than it did just two years ago.

Contributing to employers’ hiring challenges is the fact that fewer professionals are active in the job market. Only 27% of U.S. workers plan to proactively look for a new job in the second half of this year, according to separate research from Robert Half.

The main reason professionals cited for staying put? The desire to maintain their current level of work flexibility. Meanwhile, better benefits and perks is the top motivator for exploring new roles—cited by 45% of workers surveyed.

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