US employers added only 57,000 jobs in June, falling well short of economists’ expectations of 110,000 new positions, according to the Bureau of Labor Statistics.
Despite the weaker hiring, the unemployment rate fell to 4.2% from 4.3% in May, surprising economists who had expected it to hold steady at 4.3%.
Professional and business services, social assistance and health care continued to add jobs, offsetting a 61,000 decline in leisure and hospitality employment driven by weaker-than-usual seasonal hiring.
Wage growth remained steady, with average hourly earnings rising 0.3% in June and 3.5% over the past year. Meanwhile, the labor force participation rate declined to 61.5% and the employment-population ratio slipped to 59%, while long-term unemployment remained at 1.9 million.
The Labor Department also lowered previously reported payroll gains for April and May by a combined 74,000 jobs. Average weekly hours were unchanged overall, while most major industries posted little or no employment change during the month.
