US Nonfarm Payroll Increases by 162,000 in August; Unemployment at 4.1%

On Friday, the US Bureau of Labor Statistics (BLS) reported that total nonfarm payroll employment rose by 162,000 in August, well above the average monthly gain of 31,000 over the prior 12 months.

The unemployment rate held at 4.1%, with 7.0 million people unemployed. Both measures have changed little over the year.

Growth was led by the following sectors:

• Food services and drinking establishments added 59,000 jobs, well above the 12-month average monthly gain of 12,000.
• Local government education added 42,000 jobs, largely offsetting a decrease in July. Employment in local government education has shown little net change since January 2025.
• Health care continued to trend upward, adding 13,000 jobs, but below the average monthly gain of 32,000 over the prior 12 months.
• Construction employment changed little in August, adding 22,000 jobs. Employment in nonresidential specialty trade contractors continued to trend upward, adding 8,000 positions, compared with an average monthly gain of 6,000 over the prior 12 months.

Employment showed little change over the month in other major industries, including mining, quarrying, and oil and gas extraction; wholesale trade; retail trade; transportation and warehousing; financial activities; professional and business services; social assistance; and other services.

Monthly Revisions

Revisions result from additional reports received from businesses and government agencies since the last published estimate and from recalculations of seasonal factors.

The change in total nonfarm payroll employment for June was revised up by 11,000, from 20,000 to 31,000, and the change for July was revised up by 44,000, from a decline of 23,000 to an increase of 21,000. With these revisions, employment in June and July combined is 55,000 higher than previously reported.