July 3, 2025
According to the U.S. Bureau of Labor Statistics, total nonfarm payroll employment increased by 147,000 in June 2025, while the unemployment rate remained relatively stable at 4.1%. Employment growth was concentrated in state government and health care, while federal government employment continued to decline. These figures are derived from two monthly surveys: the household survey, which tracks labour force status and unemployment by demographic characteristics, and the establishment survey, which measures nonfarm employment, hours, and earnings by industry.
Household Survey Data
In June, the number of unemployed people stood at 7.0 million, with the unemployment rate holding within a narrow range of 4.0% to 4.2% since May 2024. Among major demographic groups, the unemployment rate for Black workers rose to 6.8%, while it declined to 3.6% for both adult women and White workers. The rates for adult men (3.9%), teenagers (14.4%), Asians (3.5%), and Hispanics (4.8%) showed little or no change. The number of long-term unemployed—those jobless for 27 weeks or more—increased by 190,000 to 1.6 million, representing 23.3% of the total unemployed population.
The labour force participation rate remained unchanged at 62.3%, and the employment-population ratio held steady at 59.7%. The number of people employed part-time for economic reasons was little changed at 4.5 million. These individuals preferred full-time work but were working part-time due to reduced hours or the inability to find full-time employment. The number of people not in the labour force who wanted a job remained essentially unchanged at 6.0 million. Within this group, 1.8 million were marginally attached to the labour force—an increase of 234,000—while the number of discouraged workers rose by 256,000 to 637,000.
Establishment Survey Data
Total nonfarm payroll employment rose by 147,000 in June, aligning with the average monthly gain of 146,000 over the past year. Government employment increased by 73,000, driven by a 47,000-job gain in state government, including 40,000 in education. Local government education also added 23,000 jobs. However, federal government employment declined by 7,000 and has fallen by 69,000 since January. Health care employment grew by 39,000, with hospitals adding 16,000 jobs and nursing and residential care facilities contributing 14,000. Social assistance employment continued to trend upward, increasing by 19,000, primarily in individual and family services.
Employment in other major industries—including mining, construction, manufacturing, wholesale and retail trade, transportation and warehousing, information, financial activities, professional and business services, leisure and hospitality, and other services—showed little or no change in June. Average hourly earnings for all employees on private nonfarm payrolls rose by $0.08, or 0.2%, to $36.30, marking a 3.7% increase over the past year. For production and nonsupervisory employees, average hourly earnings increased by $0.09 to $31.24. The average workweek for all employees edged down by 0.1 hour to 34.2 hours, while the average for production and nonsupervisory employees declined by 0.2 hour to 33.5 hours.
Revisions to previous months’ data showed a net increase of 16,000 jobs. April’s employment gain was revised up by 11,000 to 158,000, and May’s was revised up by 5,000 to 144,000. These adjustments reflect additional reports from businesses and government agencies, as well as updated seasonal factors.
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