U.S. Job Gains Slowed In June To 57,000; Entertainment Employment Continues Decline
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- U.S. employers added 57,000 jobs in June, below expectations, while the unemployment rate ticked down to 4.2%
- The Bureau of Labor Statistics revised April and May figures downward by a combined 74,000 jobs, leaving April at 148,000 and May at 129,000
- Entertainment employment in movies and music fell by 3,600 to 321,700, while broadcast and content providers added 1,400 jobs to reach 336,900
- Average hourly earnings rose 13 cents to $37.64, up 3.5% year-over-year — a gain economist Heather Long noted trails the roughly 4% inflation rate
- Leisure and hospitality lost jobs in June, while professional and business services, social assistance, and health care posted the biggest sector gains
- Economist Justin Wolfers of the University of Michigan wrote that "part of the recent jobs surge proved to be illusory" and the latest data shows the economy is "treading water"
Why it matters: With June's gain falling short of expectations and 74,000 jobs stripped from prior months via downward revisions, the labor market's recent strength looks considerably weaker than headline numbers suggested. Wage growth of 3.5% over the past year trails the roughly 4% inflation rate Heather Long cited, meaning real earnings declined even as nominal pay rose — a quiet hit to workers' purchasing power that broader coverage tends to gloss over.
