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US job creation in 2025 slows to weakest since Covid

US job creation in 2025 slows to weakest since Covid US job creation in 2025 slows to weakest since Covid



The number of jobs created in the US grew only modestly in December, as a weak year for the employment market in the world’s largest economy drew to a close. Employers added 50,000 jobs in the final month of 2025, according to Labor Department data, which was fewer than expected. But the unemployment rate dipped to 4.4%.Job gains last year were the weakest since 2020, when the Covid pandemic led to widespread cuts.Businesses have been operating in an environment marked by US President Donald Trump’s dramatic policy changes, including tariffs, an immigration crackdown and cuts to government spending.On average, the US added just 49,000 jobs per month in 2025, down from an estimated gain of two million a month the year before.The Labor Department said new positions in October and November were also about 76,000 lower than previously estimated.The figures have underscored the mixed dynamics facing job-seekers in the US, where hiring has cooled markedly over the last year but fears of mass layoffs have not materialised. The US Federal Reserve central bank has responded to the slowdown by cutting its key lending rate in hopes of giving the economy a boost, despite concerns that inflation is still bubbling. But the central bank is divided about how much lower borrowing costs should go.



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