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The most substantial job losses were seen in technology-related industries, an area currently under close scrutiny by economists.
The Federal Open Market Committee will certainly need to pay attention to these declining numbers
The US job market has taken a significant hit, according to the latest data released Tuesday by the Bureau of Labor Statistics (BLS). The figures reveal that the economy added 911,000 fewer jobs compared to the previous year, signalling a sharp slowdown in job growth, reports CNBC.
This decline has intensified pressure on the Federal Reserve to begin cutting interest rates, with markets now anticipating rate reductions at each of the Federal Open Market Committee’s (FOMC) remaining three meetings this year.
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The BLS’s Preliminary Benchmark Revision revealed a cut of 991,000 jobs from total employment between March 2024 and March 2025, indicating a 0.6% downward adjustment, marking a steep annual recalibration in recent years. This number far exceeded economists’ expectations of a revision near 682,000 jobs. Typically, benchmark revisions fall within a margin of plus or minus 0.2%, underscoring the severity of this adjustment, according to a Fortune report.
Monthly job growth in 2024 has averaged only 106,000, a marked decrease from the previously reported 168,000. So far in 2025, the pace has slowed even further, with just 44,000 new jobs added each month on average.
The most substantial job losses were seen in technology-related industries, an area currently under close scrutiny by economists as they evaluate the impact of artificial intelligence on employment. The hardest hit sector was the information industry, which encompasses internet companies, software publishing, and broadcasting, with a revision downward of 67,000 jobs (2.3%). Over the full year from March 2024 to March 2025, jobs in this sector were revised down by 88,000, or 3%.
Other industries experiencing notable downward revisions include leisure and hospitality (down 176,000 jobs, or 1.1%), wholesale trade (down 110,000 jobs, or 1.8%), and professional and business services, which is down 158,000 jobs, or 0.7%.
Compared to earlier reports for the year ending in March 2025, recent downward revisions indicate payroll growth has contracted by roughly 1.2 million jobs over the past 16 months.
This announcement follows closely on the heels of another report that mentioned the economy added a mere 22,000 jobs in August, fuelling concerns that President Donald Trump’s unpredictable economic policies are unsettling employers and further slowing job growth, reported ET.
The Federal Open Market Committee will certainly need to pay attention to these declining numbers, with added pressure from Trump, who has repeatedly asserted that the central bank has been “too late” in making policy adjustments.
Washington D.C., United States of America (USA)
September 10, 2025, 02:06 IST
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