Hiring in the US has downshifted. Job gains have averaged about 75,000 a month, well below the 167,000 monthly average seen in 2024.
Cooling, not collapsing
While the slowdown is notable, early-2026 data still pointed to underlying resilience, with private payroll growth in the first quarter running well above the prior year's pace before moderating. The labour market is cooling gradually rather than stalling.
What it means
Slower job growth eases some inflationary pressure but also signals caution among employers facing higher costs and uncertainty. The figures reinforce expectations of a softening labour market through the year.
Sources: U.S. Bank, Richmond Fed.