May Jobs Report: U.S. Adds 139,000 Jobs

In May 2025, the U.S. labor market added 139,000 non-farm payroll jobs, marking a slower pace compared to April’s revised gain of 147,000.

This figure falls slightly below the 12-month average of 149,000 jobs per month, signaling some softening in hiring momentum.

The unemployment rate held steady at 4.2%, with 7.2 million individuals unemployed—showing little change from the previous month.

However, the labor market saw a decline in both the labor force participation rate and the employment-population ratio, reflecting a dip in overall workforce engagement.

Is the U.S. Job Market Growing?

May’s data shows the labor market is still growing, but at a more tempered pace.

Sectors like healthcare and leisure and hospitality remain reliable sources of job creation, while federal government employment continued its steady decline.

At the same time, downward revisions to previous months—subtracting 95,000 jobs from March and April—point to more volatility than initially reported.

U.S. Unemployment Rates by Group – May 2025

• Adult women: 3.9% (up from 3.7%)
• Adult men: 3.9% (down from 4.0%)
• Teenagers: 13.4% (up from 12.9%)
• Whites: 3.8% (unchanged)
• Blacks: 6.0% (down from 6.3%)
• Asians: 3.6% (up from 3.0%)
• Hispanics: 5.1% (down from 5.2%)

Key Employment Statistics for May 2025

• Long-term unemployed (27+ weeks): Decreased by 218,000 to 1.5 million, now accounting for 20.4% of the total unemployed.
• Jobless less than 5 weeks: Increased by 264,000 to 2.5 million, suggesting recent layoffs or stalled hiring.
• Average hourly earnings: Rose by 15 cents to $36.24, a 3.9% increase over the past year.
• Average workweek: Held steady at 34.3 hours; for production and nonsupervisory employees, it remained at 33.7 hours.

Sectors with Notable Job Trends in May

Healthcare

The healthcare sector added 62,000 jobs in May, exceeding its 12-month average of 44,000.

Hospitals led with 30,000 new jobs, followed closely by ambulatory health care services (+29,000).

Skilled nursing care facilities also contributed 6,000 jobs, underscoring continued demand for medical and patient support services.

Leisure and Hospitality

Leisure and hospitality employment rose by 48,000 jobs, more than double the sector’s average monthly gain over the past year.

Most of this growth came from food services and drinking places, which added 30,000 positions.

This uptick reflects ongoing consumer demand for in-person dining and travel experiences.

Social Assistance

Social assistance added 16,000 jobs in May, with all of the growth coming from individual and family services.

While this marks continued expansion, the gain was slightly below the sector’s 12-month average of 20,000.

The data suggests that demand for these services remains high but is stabilizing.

Government

Federal government employment continued its downward trend, declining by 22,000 jobs in May.

Since January, the federal sector has shed 59,000 positions, indicating persistent contraction.

These reductions may reflect structural changes or ongoing cost-saving initiatives.

May Jobs Report Summary

May’s employment report reflects continued but cooling growth in the U.S. labor market, with 139,000 jobs added and the unemployment rate holding at 4.2%.

Gains in healthcare, leisure, and social services helped sustain positive momentum, but downward revisions to March and April figures suggest prior growth was overestimated.

The drop in labor force participation and federal employment—paired with slower gains overall—signals a job market that is steady but losing some steam.

As summer approaches, hiring trends may hinge on economic confidence and sector-specific demand.