According to the U.S. Bureau of Labor Statistics, total nonfarm payroll employment changed little in September 2026, rising by just 29,000, while the unemployment rate also changed little, ticking up to 4.2%. Employment in all major industries was little changed over the month, a notable shift from August’s broader-based gains.

The BLS also revised prior months’ employment figures downward. July payroll employment was revised from +21,000 to -10,000, while August was revised from +162,000 to +133,000. Combined, employment for July and August was revised 60,000 jobs lower than previously reported, reflecting additional reports received from businesses and government agencies and updated seasonal factors.

Household Survey Data
In September, the unemployment rate rose to 4.2%, with approximately 7.1 million individuals unemployed, though both measures changed little over the month. The rate has stayed within a narrow 4.1%–4.3% band since March. Among major demographic groups, the unemployment rate for Black workers increased to 7.0%, while rates for adult men (3.9%), adult women (3.6%), teenagers (14.5%), Whites (3.6%), Asians (2.9%), and Hispanics (4.7%) showed little change.

The number of individuals unemployed for 27 weeks or more held at 1.9 million, with long-term unemployed accounting for 27.1% of all unemployed people.

Broader labour force indicators were little changed. The labour force participation rate was 61.8% and the employment-population ratio was 59.2%, both showing little net change since January. The number of people employed part time for economic reasons held at 4.5 million. The number not in the labour force who wanted a job was little changed at 5.8 million; within that group, the marginally attached fell by 236,000 to 1.5 million, while discouraged workers were little changed at 414,000.

Establishment Survey Data
Total nonfarm payroll employment changed little in September (+29,000), following an average monthly gain of 45,000 over the prior 12 months, with little change across all major industries.

Health care employment continued its upward trend (+17,000), though slower than its recent 12-month average (+33,000), led by ambulatory health care services (+13,000) and hospitals (+12,000), while nursing and residential care facilities lost jobs (-9,000). Construction employment was little changed (+11,000), with nonresidential specialty trade contractors continuing to trend up (+12,000). Manufacturing employment was little changed (+9,000) but is up 72,000 since its December 2025 low, with gains in plastics and rubber products (+5,000) and machinery manufacturing (+5,000). Financial activities employment edged down (-7,000) and is down 129,000 since a May 2025 peak, mostly from insurance carriers and related activities (-90,000). Employment showed little change across several other major industries, including mining, wholesale trade, retail trade, transportation and warehousing, information, professional and business services, social assistance, leisure and hospitality, other services, and government.

Wage growth remained modest. Average hourly earnings for all private nonfarm employees rose 5 cents (0.1%) to $37.81 in September and were 3.0% higher than a year earlier. Production and nonsupervisory employees saw a 7-cent increase, to $32.60. The average workweek for all private-sector employees held at 34.4 hours, while the manufacturing workweek was unchanged at 40.6 hours with overtime steady at 3.0 hours.

Source: U.S. Bureau of Labor Statistics : U.S. Bureau of Labor Statistics

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