After weeks of anticipation due to a 43‑day federal government shutdown, the U.S. Bureau of Labor Statistics released its delayed jobs reports for October and November 2025, and the results underscored a softening labor market that fell short of solid growth expectations.
The combined data showed that the economy lost 105,000 jobs in October—largely reflecting federal workforce cuts—and added just 64,000 jobs in November, which was above expectations but still modest in the context of long‑term hiring trends. The unemployment rate rose to 4.6 % last month, the highest level since 2021.
Growth Too Slow, Participation Stalling
While private‑sector payrolls saw some gains—particularly in healthcare and education—other sectors such as manufacturing continued to shed jobs, with overall labor market momentum described by analysts as “stalled.”
The rate of Americans working part time who would prefer full‑time jobs and discouraged workers hit highs not seen in years, indicating underlying slack.
Economists and market observers noted that revisions from earlier months further dimmed the outlook, with data suggesting weaker employment trends than previously reported. Federal Reserve Chair Jerome Powell has cautioned that official job creation figures may be overstating growth by as much as 60,000 jobs per month, complicating monetary policy decisions as the central bank weighs future interest rate moves.
Macro Challenges and Policy Impacts
The release arrives against a backdrop of economic uncertainty, including slowing consumer demand, effects from elevated import tariffs, and the fallout from the prolonged shutdown that delayed critical economic indicators.
Investors and policymakers alike have struggled to interpret the mixed signals, with some cautioning that the labor market may be transitioning toward “stall speed” rather than decline—though signs of stress are increasingly apparent.
