The Bureau of Labor Statistics (BLS) reports that U.S. employers expanded payrolls by 50,000 jobs last month, falling at the low end of economists’ projections of between 50,000 and 73,000 jobs.The December jobs report also notes that the U.S. economy saw 76,000 fewer jobs added than previously reported for October and November combined.These results cap off a year of cooling in the labor market. Employers added about 584,000 jobs in 2025, marking the lowest yearly addition since 2003. In 2024, employment increased by around 2 million.Is a “great thaw” coming to the U.S. job market in 2026? Find out more.
Unemployment rate dials down to 4.4%
Among the bright spots in the December jobs report is the decline in the national unemployment rate. It was 4.4% in December, down from 4.6% reported in November.The unemployment rate for college-degreed workers also edged down slightly from 2.7% in November to 2.8% last month. These professionals are the most highly sought-after workers by many employers.
Leisure and hospitality a key driver of job growth in December
Leisure and hospitality employers led the way in payroll expansion last month, adding 47,000 jobs. The private education and health services industry—a major contributor to U.S. job creation throughout 2025—also saw significant gains, with employers adding 41,000 jobs.The BLS also reported notable job growth in December for employers in government (+13,000 jobs) and financial activities (+7,000 jobs ).Many industries experienced payroll contraction last month, including retail trade (-25,000 jobs), construction (-11,000 jobs), professional and business services (-9,000 jobs), manufacturing (-8,000 jobs), and transportation and warehousing (-6,600 jobs).Learn more about recent trends in the U.S. labor market.
Voluntary job searches expected to increase in early 2026
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