U.S. non-farm payrolls increased by a seasonally adjusted 57,000 in June, the Bureau of Labor Statistics reported Thursday, marking a significant slowdown and falling short of market forecasts. The gain was weaker than the downwardly revised 129,000 jobs added in May and well below the Dow Jones consensus estimate of 115,000 and Bloomberg economists' forecast of 113,000.
The U.S. unemployment rate fell to 4.2 percent in June from 4.3 percent a month earlier, as the labor force participation rate dropped 0.3 percentage point to 61.5 percent, its lowest level since March 2021. Employment in leisure and hospitality, which drove much of May's stronger performance, fell sharply by 61,000 in June due to weaker-than-usual seasonal hiring, according to the latest survey results.
Job gains were concentrated in professional and business services, social assistance and health care, though health care hiring appeared to be moderating, according to the U.S. Labor Department.
Payroll figures for prior months were also revised lower, with April and May combined seeing a downward adjustment of 74,000 jobs.
U.S. job growth slows sharply in June, missing forecasts
