US Adds 162,000 Jobs in August, Unemployment Rate Remains Steady

The United States economy added 162,000 jobs in August, with significant gains in local government education and food services, according to the monthly jobs report released by the US Department of Labor’s Bureau of Labor Statistics (BLS) on September 4, 2026. The unemployment rate remained unchanged. Analysts had forecasted job gains of 56,000 according to Reuters, 53,000 according to the Wall Street Journal, and 55,000 according to Bloomberg, following a loss of 23,000 jobs in July. Local government education accounted for nearly 42,000 of the jobs added as the 2026–27 school year begins. The food service sector added 59,000 jobs in August compared to the previous month. Additionally, construction added 22,000 jobs, and healthcare added 12,000 jobs. However, the information sector saw a decline of 23,000 jobs, with layoffs at companies such as Scripps TV and Zillow. The financial activities sector also dropped by 12,000 jobs. This data contrasts with the ADP national employment report, which indicated 38,000 jobs added in the US economy. The Labor Department’s Job Openings and Labor Turnover Survey (JOLTS) report showed job openings slightly changed at 7.3 million in July, up from 7.2 million the previous month, while total separations fell to 5.1 million in July from 5.3 million in June. The job gains come ahead of the US Federal Reserve’s policy meeting later this month, where a 25 basis point rate increase to 3.75–4.00 percent has a 60 percent likelihood, according to CME Group’s FedWatch. US President Donald Trump commented on the jobs report, advocating for interest rate cuts, stating, "Lower the interest rates because the U.S.A. is a much stronger credit than it was a short time ago!" He also threatened to cut off trade with nations where the US has a deficit if the central bank does not lower rates. Despite the strong jobs report, US markets are trending downwards, with the Nasdaq down 0.2 percent, the Dow Jones Industrial Average down 0.5 percent, and the S&P 500 down 0.3 percent. In contrast, Canada reported a loss of 41,700 jobs, with the unemployment rate steady at 6.4 percent, as noted by Tony Stillo, director of Canada Economics at Oxford Economics, who indicated that the economy may continue to struggle to create jobs due to various economic headwinds.