The U.S. labor market added only 181,000 jobs in 2025, revisions released Wednesday show. Previously, initial data showed that the U.S. economy added 584,000 jobs. But more granular state data available on a lag led to steep revisions.
One bright spot: In January, hiring increased by 130,000 roles, significantly more than the 55,000 additions that had been expected by economists.
“Job gains occurred in health care, social assistance, and construction, while federal government and financial activities lost jobs,” BLS said in a statement.
Manufacturing, a key industry targeted for growth by the Trump administration, was among the industries that saw “little change” in January, the agency said.
The unemployment rate fell from 4.4% to 4.3% in January.
Still, Wednesday’s report also shows that not nearly as many jobs were added in 2025 as thought and last year will go down as the worst year for hiring since 2020, or since 2003 outside of a recession.
Additionally, the BLS subtracted 862,000 jobs from March 2024 through March 2025 as part of its annual revisions.
For 2025, Wednesday’s revisions show that the labor market contracted during four months — January, June, August and October. Previously, data showed a net loss of jobs in only three months.
