January 9, 2026
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Sluggish hiring: only 50,000 jobs added in December amid tariff uncertainty, AI adoption, and sectoral losses.
December's report showed only 50,000 jobs added and unemployment at 4.4 percent, reflecting subdued hiring in 2025 amid employer reluctance, tariff-related uncertainty, inflation, and the spread of artificial intelligence. Revisions to prior months altered the employment picture. Gains were concentrated in Health Care and Leisure and Hospitality, while Manufacturing, Construction and Retail lost jobs. The labor market is characterized as ''low-hire, low-fire,'' with low layoffs but fewer openings; higher productivity and demographic shifts also reduce the need for strong job creation. Fed views remain split on policy responses.